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Glossary > F > "Fair price" Definition

Fair price

The equilibrium price for futures contracts. Also called the theoretical futures price, which equals the spot price continuously compounded at the cost of carry rate for some time interval.

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Fair price - The equilibrium price for futures contracts. Also called the theoretical futures price, which equals the spot price continuously compounded at the cost of carry rate for some time interval.

Fair price : the equilibrium price for futures contracts. also called the theoretical futures price, which equals the spot price continuously compounded at the cost of carry rate for some time interval.