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Calendar spread - Financial definition

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Concise definition of the term calendar spread

(1) The purchase of one delivery month of a given futures contract and simultaneous sale of a different delivery month of the same futures contract.
(2) The purchase of a put or a call option and the simultaneous sale of the same type of option on the same underlying and typically with the same strike price, but with a different expiry.

Comprehensive definition of the term calendar spread

Also called horizontal spread or time spread

Additional information related to this definition

Definitions of related terms

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