Short Term Trading Member Forum

[mr_cash4]

gary, the derivatives do NOT have an "underlying value of $ 0.00" (whatever that means). For example, in-the-money call (which is a derivative) CLEARLY does NOT have an underlying value of $ 0.00, as it represents ownership of 100 shares of that stock.

again, the question I posed to GGScott asked in a different way, how can the MSFT Single-Stock futures contract have an underlying value of $ 0.00, but MSFT stock does not???? that makes no sense whatsoever.

besides the fact that the derivatives are called so because they derive their value from the underlying stock, so whatever underlaying value is in that stock (again, whatever that means) is therefore also in the derivative.