Comment by KellyCriterion
1 day ago
Thanks for correction, that is true!
(Both instruments are not that popular in my country, so my daily language is to put both of them as synonym, while they are different animals in some details)
1 day ago
Thanks for correction, that is true!
(Both instruments are not that popular in my country, so my daily language is to put both of them as synonym, while they are different animals in some details)
There are cash settled futures there are closer to options in that they’re purely financial, but even those don’t have optionality at maturity.
Generally a dangerous thing to have as synonyms regardless, otherwise you end up with a coal barge in the east river https://thedailywtf.com/articles/special-delivery
Remembering: WTF was quite popular 20 years ago! :)
Regarding this story: I guess for most private participants, physical delivery is not possible/excluded
Your guess would be wrong. If you’re trading physically settled commodity futures, and don’t close before the settlement date, you are now the owner of a large quantity of your commodity of choice.
It just happened today: https://www.reddit.com/r/wallstreetbets/comments/1siq4m2/any...
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