Cash and Carry
The buying of an asset today and selling a future contract on the asset. A reverse cash and carry is possible by selling an asset and buying a future.
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Cash and carry trades are sometimes referred to as trading on the basis or basis trading. It is not unusual for the transaction to involve futures as the component that is sold after a similar security is purchased.
CASH AND CARRY An investment strategy through which the speculator buys spot for immediate payment and delivery while simultaneously sells a futures contract.
cash and carry trade An arbitrage strategy generally consisting of the purchase of a particular security... cash asset ratio Total dollar value of cash and marketable securities divided by current liabilities....
During the 1939-1942 period, Britain depleted much of its gold stock in purchases of munitions and weaponry on a "cash and carry" basis from the US and other nations.
Cash & carry
Applies to derivative products. Combination of a long position in a stock/index/commodity and short position in the underlying futures, which entails a cost of carry on the long position. Also known as cash and carry arbitrage.
 See also: Contract, Carry, Balance, Market, Trading
  
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