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Forward cover

The financial definition for Forward cover:

The purchase in the cash market of the difference between what you are obligated to deliver in a forward contract and the amount of the asset you own. For example, if you agreed to sell 100,000 bushels of corn in September in a forward contract, but you only have 60,000, you need to purchase 40,000 to cover your obligation.




Similar Matches

Carryforwards

Carryforwards
Tax losses allowed to be applied to offset future income in some specified number of future years.


Expectations theory of forward exchange rates

Expectations theory of forward exchange rates
A theory of foreign exchange rates that states that the expected future spot foreign exchange rate t periods from now equals the current t-period forward exchange rate.


Foreign currency forward contract

Foreign currency forward contract
Agreement that obligates its parties to exchange given quantities of currencies at a prespecified exchange rate on a certain future date.


Further Suggestions

Forward averaging
Forward contract
Forward delivery
Forward differential
Forward discount
Forward exchange
Forward exchange rate


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