con·ver·gence   (kən-vûr'jəns)    n.   The act, condition, quality, or fact of converging. Mathematics The property or manner of approaching a limit, such as a point, line, function, or value. The point of converging; a meeting place: a town at the convergence of two rivers. Physiology The coordinated turning of the eyes inward to focus on an object at close range. Biology The adaptive evolution of superficially similar structures, such as the wings of birds and insects, in unrelated species subjected to similar environments. Also called convergent evolution. con·ver'gent adj.

Convergence

Con*ver"gence\, Convergency \Con*ver"gen*cy\, n. [Cf. F. convergence.] The condition or quality of converging; tendency to one point.

The convergence or divergence of the rays falling on the pupil. --Berkeley.

Convergence

A movement in the price of a futures contract toward the price of the underlying cash commodity. At the start, the contract price is higher because of the time value.

Investopedia Commentary

As a futures contract nears expiration, the futures price and the cash price converge to eventually become the same price (usually).

Related Links

Futures Fundamentals

See also: Cash Commodity, Derivative, Forward Contract, Futures Contract

convergence

The process by which the futures price and the cash price of an underlying asset approach one another as delivery date nears. The futures and cash prices should be equal on the delivery date.

Main Entry: con·ver·gence
Pronunciation: k&n-'v&r-j&n(t)s
Function: noun
1 : an embryonic movement that involves streamingof material from the dorsal and lateral surfaces of the gastrula toward the blastopore and concurrent shifting of lateral materials toward the middorsal line and that is a process fundamental to theestablishment of the germ layers
2 : independent development of similar characters (as of body structure in whales and fishes) by animals or plants of different groups that isoften associated with similarity of habits or environment
3 : movement of the two eyes so coordinated that the images of a single point fall on corresponding points of the tworetinas
4 : overlapping synaptic innervation of a single cell by more than one nerve fiber —compare DIVERGENCE 2 —con·verge /-'v&rj/ verb con·verged; con·verg·ing
—con·ver·gent /-'v&r-j&nt/ adjective

convergence con·ver·gence (kən-vûr'jəns)
n.

1. The process of coming together or the state of having come together toward a common point.
2. Such a gathering at a single preganglionic motor neuron of several postganglionic motor neurons.
3. The coordinated turning of the eyes inward to focus on an object at close range.
4. The adaptive evolution of superficially similar structures, such as the wings of birds and insects, in unrelated species subjected to similar environments. Also called convergent evolution.
5. The movement of cells from the periphery of the embryo toward the midline during gastrulation.

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con·verge' v.
con·ver'gent adj.

convergence   (kən-vûr'jəns)  Pronunciation Key  Mathematics The property or manner of approaching a limit, such as a point, line, or value. Biology The evolution of superficially similar structures in unrelated species as they adapt to similar environments. Examples of convergence are the development of fins independently in both fish and whales and of wings in insects, birds, and bats. Also called convergent evolution. Compare divergence.