REVALUATION OF POSITIONS AFFECTED BY LIMITED HOURS TRADING Clause Samples
The "Revaluation of Positions Affected by Limited Hours Trading" clause establishes how financial positions are to be reassessed when trading is restricted to certain hours. In practice, this clause outlines the procedures for recalculating the value of assets or contracts that cannot be traded outside of designated market hours, often specifying the use of closing prices or alternative valuation methods during such periods. Its core function is to ensure fair and consistent valuation of positions when normal market activity is limited, thereby reducing disputes and maintaining transparency between parties.
REVALUATION OF POSITIONS AFFECTED BY LIMITED HOURS TRADING. You acknowledge that any reduction by the application of limited hours trading under this Agreement has the result that open positions will be marked to market after close of trading on the primary exchange and your margin requirement will vary accordingly. If you do not wish to accept this additional risk, you may close out any affected contract at any time after notice has been to you.