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GlossaryPricing & settlement

Settlement price

The final quote used to determine whether the contract condition was met.

Binary options glossary definition visual
Direct answer

Where this term appears

Look for this term around the chart, strike or barrier controls, payout display, order confirmation, result history, or contract specification. The recorded value should be understandable before an order is confirmed.

Use the definition above together with the exact value, condition, timestamp, account, product, or payment context shown by the broker.

Do not confuse

How Settlement price differs from related terms

Settlement price is often researched beside Reference price and Ask price and Price feed. The labels can appear in the same workflow, but they do not describe the same field or condition.

01
Reference price

The designated quote used to set a contract condition or determine its outcome, including a source, quote side, and timestamp.

02
Ask price

The lowest quoted price at which the referenced instrument can currently be bought. Check whether a broker uses the ask, bid, midpoint, or another quote for charts and settlement.

03
Price feed

The stream of quotes used by the platform to display prices and determine contract settlement.

Practical use

Connect every displayed price to its source and timestamp

Settlement price means the final quote used to determine whether the contract condition was met. Chart, entry, strike, barrier, and settlement values can come from different steps in the workflow. A price is auditable only when the instrument, source, quote side, timestamp, precision, and correction policy are known.

A neutral example

Capture the value before confirmation, the accepted entry or reference tick, the final settlement value, and an external reference at the same UTC time. Explain expected spread or methodology differences instead of demanding identical pixels.

01
Source

Named venue, provider, benchmark, or documented proprietary calculation.

02
Timestamp and side

UTC time, bid, ask, midpoint, last trade, mark, or another stated basis.

03
Exceptions

Missing ticks, filtered quotes, outages, fallback source, rounding, and correction process.

In a broker review

How to use Settlement price in a comparison

In a broker review, do not read Settlement price in isolation. Match the broker's own definition to the relevant contract, account, pricing, payment, or platform screen and record the condition that changes its meaning.

Comparison context

Why it matters when comparing brokers

How to use this term

Pricing and settlement terms determine what the platform records, when the result is evaluated, and how the return is calculated. Small differences can change whether two displayed offers are genuinely comparable.

What it does not prove

A high displayed percentage or precise chart does not by itself establish a fair settlement process. The source, timestamp, quote side, cutoff, and exception rules still matter.

Broker checklist

What to verify

Check these points on the broker's product screen, account flow, terms, or help pages.

01
Displayed basis

Check whether the figure is gross return, net profit, refund, or another calculation.

02
Timestamp

Compare entry, cutoff, observation, and settlement times using the same time basis.

03
Price rule

Confirm whether bid, ask, midpoint, last price, or another quote determines the result.

04
Exceptions

Read tie, void, rejection, requote, outage, and correction rules.

Quick answers

Common questions

Short answers for users comparing binary options brokers and account conditions.

What is Settlement price commonly compared with?

Settlement price is commonly compared with Reference price. Reference price means: The designated quote used to set a contract condition or determine its outcome, including a source, quote side, and timestamp.

Why does this term matter when comparing brokers?

Pricing and settlement terms determine what the platform records, when the result is evaluated, and how the return is calculated. Small differences can change whether two displayed offers are genuinely comparable.

What should I check when comparing this feature?

A high displayed percentage or precise chart does not by itself establish a fair settlement process. The source, timestamp, quote side, cutoff, and exception rules still matter. Check the broker's definition, applicable terms, and account or product screen before relying on the label.