What is a speculative transaction?
Speculative transaction means a transaction in which a contract for the purchase or sale of any commodity, including stocks and shares, is periodically or ultimately settled otherwise than by actual delivery of or transfer of commodity or scrips. However, amongst other situations, a contract in respect of stocks and shares entered into by a dealer or investor therein to guard against loss in his holdings of stocks and shares through price fluctuations will not be treated as speculative transaction.
