Basket (finance)

In finance, a basket is a group of several securities created for the purpose of simultaneous buying or selling. Baskets are frequently used for program trading.

Certain specific products can be seen as specialized "baskets".

Index funds are a basket for all the securities in a particular exchange, weighted appropriately.
Market baskets are baskets for all the securities on a particular market, weighted appropriately.
Basket options are exotic options for which the underlying is a (weighted) combination of individual assets.

See also