Example
I’ll show you the example of a popular one on Mos. RTS index exchange:
RTS-12.19
RTS – identifier, 12.19 – month and year.
Simplified:
RIZ2
RI – abbreviated identifier, Z – month, 2 – last digit of the year.
The months are shown in this table.
Data for shortened identifiers.
Definition of terminology
Before considering the mechanism of this process, it is important to understand the terminology in this area.
A futures is a contract that is concluded on the current date at the prices prevailing on the exchange at that time, but the purchase and sale transaction of a product (or service) will be completed in the future.
The contract specifies the main points of the agreement, including the closing date of the transaction.
The term "expiration" is of English origin. Thus, the word “expiration” is translated as the end of a set period. If we are talking about the financial market, then this concept means the completion of the period specified in the futures contract.
How to change an expired contract in QUIK
To replace an expired contract with a new one, you need to right-click on the schedule and then click “Edit”. In the window that appears, select the “Diagram Properties” tab, click “Edit” and select a new contract.
The order book will also need to be changed. To do this, you need to go to “Create a window”, find the “Current trading” item and click on it, in the new “FORTS futures” window enter the code of the new asset. Then open “Current trading”, right-click on the one found and mark it with a new contract.
How do futures and options expire?
The reason for the emergence of fixed-term contracts was the desire of businesses to insure themselves against the risks of changes in prices for goods. As the economy developed, the terms of contracts began to change, and their number began to grow. Now many of them are used for speculative trading in order to make money.
Futures and options are term contracts: that is, they are temporary and expire on a specific date. Let's take a closer look at how this process occurs and what it entails.
Is there life after expiration?
Futures are an obligation to buy (sell) an underlying asset in a fixed amount and on a certain date. When the expiration date comes to an end, you need to decide whether to close the position yourself or wait for expiration. Much depends on the type of fixed-term contract.
Deliverable futures
Under the terms of such a contract, you receive the underlying futures asset. For example, when purchasing a futures contract on Sberbank shares, upon expiration of the contract, the purchase of Sberbank shares will occur.
stages of expiration can be distinguished :
1. Expiration of the deliverable futures. Takes place during evening clearing (18:45–19:00 Moscow time).
2. Purchase (sale) of the underlying asset. Occurs on the next business day after expiration.
3. Crediting (writing off) the underlying asset. For bonds, the transaction occurs on the next business day after the transaction, and for shares, on the second.
It is important to understand that a low contract price does not mean a low level of responsibility. If you purchased a futures contract with delivery and forgot about it, there may be consequences. Buying the underlying asset requires more capital than buying a futures. If there are no funds for the transaction, a debt is formed, which may entail additional fees. The same goes for opening a short position on a contract. At each stage of expiration, costs may arise. To clarify your commission, you should check the tariffs.
Before expiration, close the position if the goal was short-term earnings or the execution price turned out to be unattractive for further investment. Contracts are also used as insurance. For example, if you have a portfolio with a negative reaction to the weakening of the ruble, you can purchase futures on a currency pair. The profit on it compensates for the negative impact on the portfolio.
Settlement futures
The key difference between a settlement futures and a delivery one is that there is no purchase/sale of the underlying asset after expiration. This immediately excludes the last two stages from our list. As a result, only the financial result is credited/written off to clearing.
The expiration of a settled futures contract is simpler and clearer, but is not relevant to long-term investments. This instrument allows you to insure some risks, but is often used for speculative transactions by traders.
Option like a nesting doll
An option is the right to buy (sell) an underlying asset in a fixed volume, price and a certain date. Knowing the execution price (strike) in advance is its key difference from futures.
Indications and contraindications
Extirpation is one of the most complex gynecological operations, so it should be carried out only if there are very serious indications. These include:
- cancerous tumors of the uterus, cervix or ovaries,
- large or rapidly growing uterine fibroids
- adenomyosis,
- severe endometriosis ,
- fibrosis of the uterus,
- gender change,
- multiple fibroids ,
- endometrial polyposis,
- uterine prolapse,
- peritonitis after abortion or childbirth,
- necrosis of myomatous node.
ATTENTION! The proliferation of myomatous nodes can be excluded only after extirpation.
There are a number of contraindications to this surgical intervention:
- Any acute inflammatory diseases .
- Infectious pathologies of the genital organs.
- Serious diseases of the cardiovascular system .
- Breathing disorders.
Reviews from doctors and patients
Anya “My uterus and ovary were removed two years ago. At first I didn’t feel any discomfort, but over the last six months I started having hot flashes, depression, feelings of constant fear, and difficulty breathing at night. The doctor prescribed hormone therapy. In addition, there was vaginal prolapse.”
Larisa “After a difficult birth I had to have my uterus removed. For a long time I was worried that life would change, the first year was difficult - mood swings and headaches. Now, five years later, everything is fine, sex life is also normal, appearance and weight have not changed. The only negative is that I want a child, and it’s hard to live with.”
Most gynecologists say that women’s quality of life does not deteriorate and they do not experience any discomfort, but doctors insist on the need for psychological rehabilitation, especially for women of childbearing age. If the operation and postoperative period went correctly, the woman’s body will quickly recover and the quality of life will not be affected.
Video: hysterectomy with tubes.
What a beginner needs to know about expiration
The vast majority of expirations on the exchange are quarterly. They occur on the 15th-20th in March, June, September and December.
Exceptions include:
- OFZ contracts - their date falls on the 5th day of the month of execution;
- oil futures - they are traded on the first trading day of each month.
The period for closing transactions is set by the administration of the sites. You can view these deadlines in the exchange calendar (it is available on every platform).
On the CME Chicago Exchange, futures contracts are closed monthly.
When it comes to options, they can be of several types:
- quarterly (longest-term) - their expiration date may or may not coincide with the closing day of quarterly futures;
- period;
- weekly (refer to short-term).
Settlement for a completed transaction is made on the first day of trading following the closing date of the contract.
Traders trading on the Forex platform can open futures with any expiration date (in this case, the deadline is set by the trader himself).
In this case, the duration of the period is influenced by several factors:
- Forex broker with whom the trader works;
- selected asset;
- trading strategy.
In this case, transactions whose duration is several minutes are considered short-term, and long-term - several months.
It is important for every trader to understand the features of futures expiration, since the closure of transactions has a great impact on the financial market.
Hysterectomy and its complications
As with any surgical intervention, a number of complications are possible after hysterectomy. One of the most severe is damage to the bladder; if it is not diagnosed in time, vesicovaginal fistulas can form, which can only be eliminated with the help of a new surgical intervention.
The following complications may also occur:
- bleeding from ovarian vessels,
- parametrium hematoma,
- ureteral injury.
Complications can arise not only during the operation, but also some time after the intervention. Consequences after hysterectomy:
- Infection in the wound,
- Suppuration of hematoma,
- Peritonitis,
- Sepsis,
- Bleeding,
- Necrosis of the vaginal dome,
- Prolapse of intestinal loops.
In order to prevent such complications, the patient is prescribed subsequent antibiotic therapy.
Consideration of expiration for some popular assets
Below we will discuss how to look at the specifications of futures contracts on the Moscow Exchange, but for now let’s see what can be found there about RTS regarding expiration: “The last trading day on which it is still possible to enter into transactions on a contract is the 15th day of the corresponding month, and for situations where the 15th falls on a day off, consider the date of the last trading day to be the first working day following the day off.”
In which months RTS is executed will also be described below, but now you need to pay attention that clause No. 4.7 also states: “To fulfill obligations under the contract, the settlement price must be considered the average RTS value in the period 15-16 hours Moscow time on the last trading day, which is determined by the algorithm of paragraph No. 3.4 or paragraph No. 7.2 in the specification by multiplying by one hundred.”
Progress of the operation: stages
If the operation is performed using the abdominal method, an incision will be made along the bikini line, 10–15 cm long, after which an inspection of the abdominal cavity is performed to clarify the diagnosis, after which the uterus will be removed with or without appendages. The operation includes the following steps:
- are transected and subsequently ligated .
- Removal or mobilization of appendages.
- Bladder mobilization.
- Intersection of vascular bundles.
- Incision of the prevesical fascia.
- Transection and ligation of the sacrouterine ligaments.
- Transection and ligation of cardinal ligaments.
- Opening of the vaginal vault.
- Vaginal tube hemostasis.
- Peritonization.
IMPORTANT! Abdominal surgery has more severe consequences than other methods and many doctors consider it outdated.
Impact on the market situation
Expiration is often accompanied by quite strong and sometimes unnatural movements in the stock market. Some traders tend to think that this is due to investors who can influence the market by making large trades.
When the moment of expiration arrives, the struggle for profit begins between traders who sold options and those who bought them. Therefore, volatility jumps sharply and the market consolidates at a certain level only when it becomes clear who won, sellers or buyers.
If the market has been in equilibrium for a long time, a situation may arise when expiration will be at the minimum of the yield curve. This means that sellers and buyers of options were in equilibrium, of course, only according to the average.
Read in the article:
1. Concepts of options and futures 2. Expiration of a futures contract 3. Expiration of options
“Time is more important than price, the time comes, the price turns around”
William Gunn
What is the largest stock market in the world? Where exactly are the “owners” of markets most active?
These questions are asked sooner or later by any trader who wants to analyze the actions of the largest players in selected trading assets.
Currently, the so-called Chicago Mercantile Exchange Group is the most capitalized exchange in the world.
This exchange even trades futures for the first cryptocurrency in the world - Bitcoin, not to mention other classic groups of derivatives for energy resources, world stock indices, currencies, metals and even weather.
By derivatives that are traded on the CME Group exchange, we mean futures and options contracts.
Current dynamics
As for the current dynamics, BTC fell significantly in price yesterday due to increased trading volumes, losing its 50-day moving average. Moreover, quotes continued to fall in trading on Thursday, having lost important support in the $9,250 area, which previously acted as a springboard for a rebound on several occasions, while the mentioned moving average led to an aggressive rebound on June 15. All this speaks in favor of a further bearish move.
Today, quotes have already managed to break the integrity of the $9,000 level and, at the time of writing, are located slightly above this level. Continued sales will bring the token to around $8,500.
Types of binary options depending on expiration
Depending on the maturity date, such securities can be divided into short-term and long-term.
Short term options
Very popular among those looking for easy and quick profits. Short-term contracts are those whose execution period does not exceed one hour. Binary options “60 seconds” are very common, where you need to predict the behavior of the price of an asset in the next minute.
Long-term options
Options with a minimum expiration date can bring quick profits, but they are quite risky. It is extremely difficult to predict a price increase or decrease in the near future. But you can analyze the behavior of the asset in the last quarter and make a forecast for the next couple of weeks or month. Long-term options are enjoyed by experienced traders, for whom trading on the stock exchange is not just entertainment, but a full-fledged source of income.
In what cases may early expiration of put options be necessary?
When a put option is concluded, the asset is in the hands of the security holder, and the seller agrees to buy it at a set price. Most often, this is how investors insure their investments. In the case of a put agreement, early expiration is also disadvantageous, especially for the seller. The short term of payment of dividends, on the contrary, becomes a reason not to require early execution of the security. Expiration of a put option is necessary only when the price of the asset has reached its maximum point and will decline in the near future, but the contract has not yet expired. By waiting for the moment of execution, the investor will lose his profit every day, although he could have received it in full.
