C

Call
The period of time between the opening and closing of some future markets wherein the prices are established through an auction process. An option contract giving the owner the right (but not the obligation) to buy a specified amount of an underlying security at a specified price within a specified time.

Conversion Price
The price per share at which a convertible security, such as corporate bonds or preferred shares, can be converted into common stock.

Commodity
A basic good used in commerce that is interchangeable with other commodities of the same type. Commodities are most often used as inputs in the production of other goods or services. The quality of a given commodity may differ slightly, but it is essentially uniform across producers. When they are traded on an exchange, commodities must also meet specified minimum standards, also known as a basis grade. Any good exchanged during commerce, which includes goods traded on a commodity exchange.

Commodity Exchange
A swap where exchanged cash flows are dependent on the price of an underlying commodity. This is usually used to hedge against the
price of a commodity.

Convertible Bond
A bond that can be converted into a predetermined amount of the company's equity at certain times during its life, usually at the discretion of the bondholder. Convertibles are sometimes called "CVs".

Corporate Bond
A debt security issued by a corporation, as opposed to those issued by the government.

Credit Spread
The spread between Treasury securities and non-Treasury securities that are identical in all respects except for quality rating. An options strategy where a high premium option is sold and a low premium option is bought on the same underlying security.

Cum Dividend
When a buyer of a security is entitled to receive a dividend that has been declared, but not paid.