What is the meaning of DAX Futures Option?

DAX Futures Option is an American option that settles into a DAXâ Futures (q. V.) contract. Payment of the option premium is "futures-style, which means none of it occurs immediately, and a piece of it occurs with each daily mark-to-market. An implication of this is that the "buyer" (really, the "long") may pay no premium and the "seller" (really, the "short") may pay all the premium!

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APABarry Goldsmith. (2010). DAX Futures Option. Retrieved September 26, 2026, from http://smartdefine.org/dax_futures_option/definitions/1151437
ChicagoBarry Goldsmith. 2010. "DAX Futures Option" http://smartdefine.org/dax_futures_option/definitions/1151437 (accessed September 26, 2026).
HarvardBarry Goldsmith 2010, DAX Futures Option, Smart Define, viewed 26 September, 2026, <http://smartdefine.org/dax_futures_option/definitions/1151437>.
MLABarry Goldsmith. "DAX Futures Option" 21 October 2010. Web. 26 September 2026. <http://smartdefine.org/dax_futures_option/definitions/1151437>