What is an equity perpetual?

An equity perpetual is a derivative with no expiry that references an equity, an ETF or an equity index. In the structures this site describes, it is cash-settled. Holding it does not give you the shares, the votes, the dividends or the shareholder rights of the listed instrument.

The contract still has to define a reference, a mark, a funding exchange between longs and shorts, a margin rule and a procedure for splits, dividends, halts and delistings. Those definitions are written by each venue. Two contracts with the same ticker can be different products.

The cash market in the underlying closes. The perpetual may not. When the listing exchange is shut, the reference is no longer a live auction. That is a market-structure fact, not a signal to do anything.

This note is informational. It is not investment, legal, tax or financial advice, and it is not a recommendation to enter a transaction.