Mini-Future — Short
A short position in the underlying with the issuer holding the proceeds; a stop-loss above the price closes it.
Payoff at maturity
Move the parameters; the product formula and its building blocks are recomputed from the same engine that is tested against the workbook.
The stop-loss is path dependent and the financing level is adjusted daily. The chart is the value on a given date, given whether the stop-loss was hit.
- Stop-loss not hit
Value 20 %
Per 10'000 of nominal
| Underlying at maturity | Level | Value | Amount | Gain / loss |
|---|---|---|---|---|
| −30 % | 70 % | 50 % | 5'000 | −5'000 |
| unchanged | 100 % | 20 % | 2'000 | −8'000 |
| +30 % | 130 % | 5 % | 500 | −9'500 |
For leverage products the nominal stands for the initial underlying level; the amount is the value of a position that controlled 10,000 of underlying at the start. Premium, financing and time value are not included. Scenario: Stop-loss not hit.
Data table and formulas
Mini-Future - Short (2210), scenario "Stop-loss not hit": value per unit at maturity for an underlying at 0 % → 120 %; 100 % → 20 %; 115 % → 5 %; 120 % → 5 %; 200 % → 5 % of its initial level.
| Series | Formula | 0 % | 25 % | 50 % | 75 % | 100 % | 125 % | 150 % | 175 % | 200 % |
|---|---|---|---|---|---|---|---|---|---|---|
| Short Underlying | −S | 0 | -25 | -50 | -75 | -100 | -125 | -150 | -175 | -200 |
| Long Zero Bond | financing level | 120 | 120 | 120 | 120 | 120 | 120 | 120 | 120 | 120 |
| Stop-Loss Barrier with Residual Value | if S > stop-loss level: S − stop-loss level; otherwise 0 | 0 | 0 | 0 | 0 | 0 | 10 | 35 | 60 | 85 |
| Product | if S ≤ stop-loss level: financing level − S; otherwise financing level − stop-loss level | 120 | 95 | 70 | 45 | 20 | 5 | 5 | 5 | 5 |
Largest difference between the sum of the blocks and the product formula over the grid: 0.0e+0.
How it is built
Each block drawn on its own, then added. The last chart is the sum, and it is identical to the product line above.
- Short Underlying−S
- Long Zero Bondfinancing level
- Stop-Loss Barrier with Residual Valueif S > stop-loss level: S − stop-loss level; otherwise 0
- Product: stop-loss not hitif S ≤ stop-loss level: financing level − S; otherwise financing level − stop-loss level
Largest gap between the sum of the blocks and the product formula on this grid: 0.0e+0. The same identity is tested for every product and scenario in the site's test suite.
Construction, as listed in the workbook
- Short Underlying (Short Zero-Strike Call)
- Long Zero Bond (face = Financing Level)
- Stop-Loss Barrier with Residual Value (Financing Level - Stop-Loss)
- Equivalent: Up and Out Long Put - ITM (strike = Financing Level, barrier = Stop-Loss, rebate = residual value)
In plain English
The mirror image of the long mini-future: value is financing level minus underlying. The underlying is sold short, the proceeds plus your capital sit at the financing level, and a stop-loss below the financing level closes the position if the underlying rises to it.
Equivalently an up-and-out put with strike at the financing level, barrier at the stop-loss and a rebate equal to the residual value.
Chances and risks
Chances
- Leverage on a fall without time value.
- Open-ended; useful for hedging a long position.
Risks
- A rise to the stop-loss ends the position with a small residual.
- Financing adjustments.
- Issuer credit risk.
Who it fits
- Traders hedging or shorting with daily monitoring.
Who it does not fit
- Investors who cannot monitor their positions.
Features that can be added
Cross-category features from the workbook that issuers attach to this type.
Nearby on the map
- 2210Leverage ProductsMini-Future — Long
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