InvestorsHub Logo
Followers 1
Posts 114
Boards Moderated 0
Alias Born 10/08/2009

Re: lasombra post# 1852

Thursday, 09/01/2011 1:04:24 PM

Thursday, September 01, 2011 1:04:24 PM

Post# of 1866
"A trade of a security or a derivative where settlement occurs on the same trading day. This is fairly unusual; most contracts are settled between one and three days later. Generally speaking, cash contracts are most common in the last week of the calendar year when many trades must be settled sooner to guarantee tax advantages for one or both parties. It is also called a cash trade."