The market in the underlying financial instrument on which a futures or options contract is based. In the case of Stock Futures, the underlying instrument is the international stock upon which the futures contract is listed. For example, the Stock Future AXA is based on the equity AXA, which is listed on NYSE Euronext’s Paris market.

The difference between the last settlement price and the last reported ask, bid or trade.

The process of registration, margining and managing the counterparty risk associated with an open position.

To liquidate a position by taking an equal and opposite position.

The month in which a futures contract is fulfilled. See delivery months.

Click here for the Stock Futures contract specification and other useful information.

In real-life trading, Stock Futures are denominated and traded in the currency of their underlying stock, i.e. euros, US dollars, Swedish Krona, etc.

(Contract month) Specified months during which the actual delivery of the future may be made under the terms of the contract specification. For details of Delivery Months for Stock Futures click here.

This is the price at which Stock Futures are settled following the close of trading on the last trading day. The method of calculation depends on the market for the underlying stock.

A legally binding agreement between a buyer and seller to buy or sell a commodity or financial instrument, sometime in the future at a price agreed today. Futures contracts have standard delivery dates, trading units, terms and conditions.

The returnable deposited paid to the Clearing House when initiating an open position. It protects the Clearing House against a forward one-day adverse price movement in the event of a clearing member defaulting. The exchange requires the level of initial margin set by the clearing house to be the minimum required by (clearing) members from their clients. The level is subject to changes in line with market conditions. For the purpose of the Trading Simulation Game, fictitious margin levels of 10% have been set for all orders. In real-life trading, the quantities of initial and variation margin that you will be required to pay will be based on your initial and subsequent investment outlay and determined by your broker.

This is the last day in the Delivery Month on which the future can be traded. Futures positions will be either cash settled or physically delivered at the end of the Last Trading Day.

NYSE Liffe’s electronic trading platform, facilitating a market in which participants can come together to buy and sell futures and options.

An order given to a broker by a customer that specifies a price; the order can be executed only if the market reaches or betters that price.

LCH. Clearnet Ltd (the Clearing House) is the central counterparty for all trades made on the LIFFE market, including those in Stock Futures. All trades on the LIFFE market must be cleared, and therefore all members must have an assured route to the Clearing House. Because only clearing members may be counterparties of the Clearing House, LIFFE non-clearing members (ie those that are not also members of the Clearing House) must enter into a clearing agreement with a clearing member (ie a member of both LIFFE and the Clearing House). Where a customer has dealt through a non-clearing member of LIFFE, there will be a chain of linked, or "back-to-back", contracts: (i) between the customer and the non-clearing member; (ii) between the non-clearing member and the clearing member; and (iii) between the clearing member and the Clearing House. The customer therefore has no contractual relationship with the Clearing House - his counterparty is his broker.The Clearing House has a fundamental role in managing risks within the marketplace. As part of this role, the Clearing House requires clearing members to make a deposit with it following the opening of a new position. This deposit - known as initial margin - can be cash or various forms of collateral (eg equities or government bonds). The amount of initial margin required from clearing members by the Clearing House differs from product to product - detailed requirements for all LIFFE market products are available from the exchange.In addition, gains and losses on open positions are calculated at the end of every day - and payments reflecting those calculations - known as variation margin - are made between the Clearing House and clearing members. The Clearing House receives variation margin from clearing members whose positions have fallen in value and pays it to those whose positions have risen in value. These arrangements between the Clearing House and clearing members will be reflected in the commercial provisions between brokers and their clients.

Taking a long position means committing to take delivery of the underlying asset of a futures contract on a certain future date. It generally means you think the value of the future will rise. In the case of Stock Futures, contracts are generally cash settled - meaning physical delivery of the underlying asset takes place in only a few cases.

Number of contract lots (standardised contract sizes) traded by the purchaser or the seller in a transaction.

For the purpose of the Stock Futures Trading Simulation Game, fictitious margin levels of 10% have been set for all orders. In real-life trading, the quantities of initial and variation margin that you will be required to pay will be based on your initial and subsequent investment outlay and determined by your broker and the Clearing House. The amount of initial margin required from clearing members by the Clearing House differs from product to product - detailed requirements for all products are available from the exchange.In addition, gains and losses on open positions are calculated at the end of every day - and payments reflecting those calculations - known as variation margin - are made between the Clearing House and clearing members. The Clearing House receives variation margin from clearing members whose positions have fallen in value and pays it to those whose positions have risen in value.

All futures are re-valued on a daily basis, with payments made to and from the Clearing House to and from clearing members. The collection of these daily payments prevents participants from accumulating large unpaid losses which could potentially impact on the financial position of other market users.

An order for immediate execution given to a broker to buy or sell at the best obtainable price.

(tick size) This is the smallest amount by which a futures price can change and varies between contracts. The Minimum Price Movements for Stock Futures is available here.

The price at which a trader is willing to sell a contract.

The net (ie either long or short) open positions in a particular future or option contract which needs to be either traded out before expiry, or delivered at expiry.

An interest in the market, either long or short, in the form of open contracts. See Open Interest.

This describes the format for quotations on futures contracts. The quotation for Stock Futures is in Euros per share for European stocks, Swiss Francs for Swiss Stocks, Swedish Krona for Swedish stocks, etc. Trading in Stock Futures on the LIFFE market, and settlement of such contracts will be in the currency of the underlying stock.

Profit or financial gain as a result of closing a Stock Futures position opened in the duration of the Stock Futures Trading Simulation Game.

This is the day that final cash settlements are to be made between buyer and seller. The Settlement Day for Stock Futures is the first business day following the Last Trading Day.

Taking a short position means committing to deliver the underlying asset of a futures contract on a certain future date. It generally means you think the value of the future will drop.

A method of calculating initial margin by evaluating portfolio risk under a number of scenarios. The Clearing House uses London SPAN to calculate initial margin for all contracts.

Stock Futures are standardised futures contracts on shares of individual companies. For further information on Stock Futures, click here.

Stop orders become market orders when the price trades, or is bid, at or better than the stop price. You place buy stops above the market if you are bullish on prices or sell stops below the market if you are bearish.

This represents the cash value of the Minimum Price Movement, and is derived from the Minimum Price Movement and the Unit of Trading. The Tick Value for Stock Futures is available here.

The price at which the last transaction took place. If the trade has not taken place, then a price between bid and offer (ie mid price) is displayed.

The Trading View is a summary page of contracts you are interested in monitoring (watching) and trading and provides details of any open positions in that contract.

The markets for financial instruments upon which a futures or options contract is based. In the case of Stock Futures, the underlying instrument is the international stock upon which the futures contracts is listed, ie AXA is listed on NYSE Euronext's Paris exchange.

In the case of Stock Futures, the cash market price of the company share on which the futures contract is based.

This represents the quantity of the underlying share each single futures position represents. Trades take place in multiples of the Unit of Trading. The Unit of Trading for Stock Futures is 100 shares for European and US stocks, and 1,000 for Italian stocks.