There is a concept in daikon Q's 62 bpp kit ..marked market in terms of interest rate futures ...the numbers are there but concept is unclear
Also there is
In the money
Out of money
At money
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Daikon
Could u please put them simplified
Thanku
8y ago#2Marked-to-market is explained in note (ii) of the question. The margin (deposit) will be adjusted each day as the futures price goes up and down (and I do mention this in my lectures).
Something is in the money, if at current prices it is making a profit. It is out of money if at current prices it is making a loss.
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