Contract Length

Trading Basics

Contract Length

The length of time a contract is open until it expires.

Other Trading Basics

Broker

Provides access to the financial markets for traders.

Brokers come in all shapes and sizes.

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Commercial Paper

How big companies finance short-term cash flow.

Like bonds but without the coupon, instead, the APR is determined by the discount the agreements are entered into and the length of time to repayment.

For example, a blue chip company might borrow $9.95m dollars today and repay $10m in a month’s time.

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Capital

The economic resource used to buy assets, normally with the view to provide a product or service.

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