Contango
- n. The postponement of payment by the buyer of stock on the payment of a premium to the seller. See Backwardation.
- n. The premium or interest paid by the buyer to the seller, to be allowed to defer paying for the stock purchased until the next fortnightly settlement day.
The word meanings were obtained from OPTED(The Online Plain Text English Dictionary), which is based on “The Project Gutenberg Etext of Webster’s Unabridged Dictionary” which is in turn based on the 1913 US Webster’s Unabridged Dictionary (See Project Gutenburg), as a text file.