Forward Contract Tenor and Futures Deliery Month Symbols
November 25th, 2011
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What Does Tenor Mean?
The amount of time left for the repayment of a loan or contract or the initial term length of a loan. Tenor can be expressed in years, months or days.
Investopedia explains Tenor:
For example, if a bank loan is initially extended with a five-year tenor, after three years, the loan will be said to have a tenor of two years.
Tenor is sometimes used interchangeably with “maturity”, although tenor is not often used to describe the terms of fixed-income instruments such as government bonds and corporate bonds. Instead, non-standardized contracts like insurance policies and bank loans tend to be described in terms of tenor.
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