Task: Instance Description Understanding (ontology: Business_Finance/Financial_Industry_Business_Ontology)

Which of the following definitions best describes the instance 'closed trade'?

A. stage in the lifecycle of a trade indicating that the trade has been finalized, and that there is no longer a corresponding open position on the books of the trader, eliminating any exposure
B. stage in the lifecycle of a trade indicating that the trade has been established and there is an associated open position on the books of the trader as a consequence
C. stage in the lifecycle of a trade indicating that a third-party clearing house, acting as an intermediary, has reconciled the orders involved in the trade
D. stage in the lifecycle of a trade indicating that a change or addition has been made to the terms of the trade, leaving the original terms largely intact

Answer: stage in the lifecycle of a trade indicating that the trade has been finalized, and that there is no longer a corresponding open position on the books of the trader, eliminating any exposure