Trading Basics
LOT
A standardised FX transaction size equal to 100,000 of the base currency.
Other Trading Basics
Annuity
A guaranteed income for the rest of someones life.
Historically purchased with pension lump sums.
The buyer is swaping cash now for future income.
Currency Futures
A future is an agreement to buy or sell something at future point in time. A currency future is when that agreement is on an FX market.
Collateral
The resources put up by the trader to enter a trade.
Requested by the counterparty and normally in the form of cash but sometimes other liquid assets like shares.
Start learning
Learn the skills needed to trade the markets on our Trading for Beginners course.
