Futures
A futures contract is a form of forward contract, a contract to buy or sell an asset of any kind at a pre-agreed future point in time that has been standardised for a wide range of uses. It is traded on a commodity exchange.
Futures may also differ from forwards in terms of margin and delivery requirements. The price is the only variable and is determined through the interaction of buyers and sellers at the time when the contract is first opened. A Futures Option is a contract between two parties giving the buyer the right, but not the obligation, to buy or sell a parcel of shares at a predetermined price on or before a predetermined date.
Essential information about every futures and options contract is right at your fingertips.
|