Close Navigation
Learn more about IBKR accounts

Forward Contract

Trading Term

A non-standardized financial contract between two entities to buy or sell an asset at an predetermined price at a specified future date. Forward contracts are OTC derivative instruments that are very similar but distinct from a Futures Contract. Forward contracts differ from Futures contracts by being extremely customizable in terms of commodity type, amount, and delivery date. Due to this, forward contracts are also not as easily available on retail exchanges by comparison.

IBKR Campus Newsletters

This website uses cookies to collect usage information in order to offer a better browsing experience. By browsing this site or by clicking on the "ACCEPT COOKIES" button you accept our Cookie Policy.