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Job Lot

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A job lot refers to a particular contract that deals with smaller trading units than those outlined in a regular contract. This helps to create a market where smaller investors can participate along with the larger traders. A job lot is most commonly associated with the trading of commodity futures. A job lot should not be confused with an off lot, which is related to the trading of stocks. The term job lot also refers to a large quantity of items sold at a low cost. Often a job lot will feature a variety of miscellaneous items to be sold in one large job lot. A job lot is used to quickly reduce the amount of stock of a particular item. A person who buys a job lot from a manufacturer or wholesaler is known as a "jobber."

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