What Is Future Trading?
An agreement contract between two parties, a buyer and a seller, to buy and sell asset at a specified price and date. Every future contract agreement will represents a specific amount of given security or commodity.
- Instrument Selections
- Market Analysis
- Trade Executions
How It Works
Future trading works by two people (buyer and seller) agreeing on a contract of buying and selling of an asset on specified as stated within the contract.
Future trade commonly used for exchange of raw materials such oils, harvests or metals.
Standardized And Non-Risky Agreement
In future trading both parties are tied to terms and obligations stated within the agreed contract. Hence no parties come out as a loser.
To start future trading, an investor will select an asset he/she wants to trade and then will make a margin deposit to the broker.
Works As Protection From Market Price Volatility
Through future trading, businesses and companies can use it to protect themselves from price volatility in different securities.
Who Is It For?
- Private Investors