forwards

Contracts for the sale/purchase of a specified quantity of a financial instrument, currency, or commodity at an agreed-upon price on a given future date. Unlike an option, a forward contract obligates both parties to consummate the transaction. Forwards are very similar to futures - the principal difference is that futures are almost always exchange traded while forwards are traded over the counter. American Banker Glossary

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The buying and selling of underlying assets such as commodities and financial securities at a specified future date at a fixed price. London Stock Exchange Glossary

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   A forward is an agreement to buy or sell a commodity or a financial asset at a specified future date for a fixed price. It is a completed contract and the commodity or financial asset will be delivered, unlike an option which gives a choice of whether or not to complete the trade at the later date. Unlike futures, forwards are not contracts with standard fixed terms. They are tailor-made between the buyer and seller for each deal and are traded OTC rather than on an exchange.

   ► See also Futures, OTC.