Event contract settlement
After an event contract position settles, your proceeds move through a settlement process before they're available for withdrawal.
If your event contract position settled in your favor, your funds move automatically to your buying power within 1 business day of the event settling. You don't need to manually transfer anything.
The exact timing depends on when the event concludes and how long the exchange takes to process the final result. Most payouts are available the next business day, but exact processing times can vary.
Keep in mind that an event beginning Thursday evening may end and settle early on Friday. In those cases, the funds won’t be available for withdrawal or use in the brokerage account until they are swept at the start of the next business day, Monday.
If your funds haven't arrived after 2 business days, check your account history first. Go to Account, select History, and filter by Event contracts to confirm whether the settlement is reflected.
The Timeline section of the event detail page includes the following.
The payout date and the date funds are available for withdrawal aren't the same. Proceeds from payouts are generally available for withdrawal within 1 business day of settlement.
All event contract positions settle in cash. There's no physical delivery. At settlement, each contract pays either $1 (if your outcome was correct) or $0 (if your outcome was incorrect).
To view settled contracts and your payout history, go to Account, select History, and filter by Event contracts. The payout description in your order history confirms the position has been resolved and proceeds have been processed.
Exchange partners define settlement terms and conditions for each event. All settlement determinations are made by the exchange partner, not Robinhood. To review the terms for a specific event, go to the event detail page and review the About and/or the terms and conditions. Official data sources are generally specified, and only the outcome according to that specific source will be used to settle the contract.
Your predicted outcome didn't occur. The exchange partner determines the official result based on the settlement terms defined for that event. To review the settlement terms for a specific event, go to the event detail page and review the About section.
If the outcome lands exactly at the threshold, settlement depends on whether the contract uses a strict inequality (greater than, >) or an inclusive inequality (greater than or equal to, >=). Refer to the contract's About section for the authoritative definition.
For standard binary payouts, fractional contract proceeds round down to the nearest cent. For example, 0.05 contracts pay $0.05 at a $1 settlement. For nonstandard payouts, proceeds may also round down.
0.05 contracts at a $0.752 nonstandard settlement would pay $0.03 (0.05 x $0.752 = $0.0376, rounded down to $0.03).
All legs of a combo must resolve in your favor for the combo to settle at $1. If any leg doesn't pay, the combo settles at $0.
In some instances, standard settlement doesn’t apply. For example, when a professional football game ends in a tie but the event contracts were to be settled against a winner and a loser.
Possible nonstandard outcomes and the result:
Always review the About section and terms and conditions for your contract to understand how nonstandard outcomes are handled before you trade.
If an event is canceled before or during trading, the exchange partner determines how contracts settle. This may result in a $0 settlement, a settlement at the last traded price, or another type of nonstandard payout. Robinhood can't change or modify these settlement outcomes.
If a player doesn't participate in the event, their contract may be voided or settle at a fallback value (for example, $0.50) as determined by the exchange.
If 1 leg in a combo has a nonstandard payout and all other legs resolve correctly, the maximum payout per contract for the entire combo is the nonstandard payout amount. If multiple legs have nonstandard payouts, the final payout is calculated by multiplying the payout value of each leg. For example, if legs 1 and 2 each have a nonstandard payout of $0.50 and legs 3 and 4 settle at $1, the per-contract payout is $0.25 ($0.50 x $0.50 x $1 x $1).
If you transfer your account to another brokerage firm, your open event contract positions aren't transferred. Positions are held until expiration or settlement, and proceeds transfer to your other account after settlement is complete.
Sometimes the wording of a market can be interpreted in more than one way. If that happens, the exchange can issue a clarification explaining how it will handle the situation. In these cases, trading may be paused briefly.
If a market is tied to an individual, the exchange takes extra care to avoid any appearance of profiting from that person's death or injury. In those cases, the market is settled based on the last fair price recorded before the event happened.
Restrictions and eligibility requirements apply. Futures, options on futures, and cleared swaps trading involves significant risk and is not appropriate for everyone. Carefully consider if it's appropriate for you in light of your personal financial circumstances. Displayed prices are based on real-time market sentiment.
Read the Event Contracts Risk Disclosure for more information about the risks associated with event contracts.
Futures, options on futures and cleared swaps trading is offered by Robinhood Derivatives, LLC, a registered futures commission merchant with the Commodity Futures Trading Commission (CFTC) and Member of National Futures Association (NFA). Event contracts are offered by Robinhood Derivatives, LLC through either KalshiEX LLC, ForecastEX, LLC or Rothera Exchange and Clearing LLC.