Offset - Counter-balancing of exposure through establishing exposure on the opposite side.
Elimination of a long or short position by making an opposite transaction. Related: liquidation.
1. To liquidate a futures position by entering an equivalent, but opposite, transaction.
Liquidating a purchase of futures or options through the sale of an equal number of contracts of the same delivery month, or the covering of a sale of futures or options through the purchase of an equal number of contracts of the same delivery monthMatching total long with total short contracts for the purpose of determining a net long or net short positionNon-competitively matching one customer"s order with another, a practice that is permissible only when executed as required by the Commodity Exchange Act, CFTC regulations and rules of the futures exchange
Offset : counter-balancing of exposure through establishing exposure on the opposite side.
elimination of a long or short position by making an opposite transaction. related: liquidation.
1. to liquidate a futures position by entering an equivalent, but opposite, transaction.
liquidating a purchase of futures or options through the sale of an equal number of contracts of the same delivery month, or the covering of a sale of futures or options through the purchase of an equal number of contracts of the same delivery monthmatching total long with total short contracts for the purpose of determining a net long or net short positionnon-competitively matching one customer"s order with another, a practice that is permissible only when executed as required by the commodity exchange act, cftc regulations and rules of the futures exchange