Spot Trade

In trading, the term spot trade denotes a securities trade which is performed instantly and settled within the relevant settlement period of the exchanges involved.

Spot trades make up the spot market – the market for trades which occur immediately as soon as contracts are created. In this way, spot trades differ from futures trades, which are always transacted at a point in time proceeding the times at which contracts are created.

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Editor Daniel Dreier
Daniel Dreier is editor and personal finance expert at moneyland.ch.