# Forward price

- Canonical URL: https://www.gerhardmerk.de/forward-price-2
- Post ID: 592397
- Modified: 2023-07-25T21:01:23+00:00
- Language: en

## Definition

Price of an underlying asset at an agreed later date. - In calm market conditions, it can be assumed that - in commodity markets, the forward price is higher than the corresponding spot price, mainly as a result of the interest, storage and insurance costs associated with holding the commodity, and - the commodity of the nearer dates is cheaper than the same commodity of the farther dates. - Price of a foreign currency in the foreign exchange market in - if not explicitly stated otherwise - ninety days. - See discount, foreign exchange forward, Herstatt risk, spot rate, option, swap rate, forward contract, currency option. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

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