Contango
Pronunciation : Con*tan"go
Part of Speech : n.;
Etymology : [Prob. a corruption of contingent.]
Definition : 1. (Stock Exchange)
Defn: 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. [Eng.]
2. (Law)
Defn: The postponement of payment by the buyer of stock on the payment of a premium to the seller. See Backwardation. N. Biddle.
pl. Contangoes.
Source : Webster's Unabridged Dictionary, 1913