For futures, mark-to-market amounts are called settlement variation, and are banked in cash every day. We say that for futures, there is a daily cash mark-to-market. Settlement variation amounts are also called variation margin or simply variation. Note that the description herein applies to all products which are futures from a functional point of view, including some which may not be considered futures from a regulatory point of view.
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
