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What are futures contracts?
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13th Nov 2009 by JonB
A future contract obligates the holder to buy or sell a certain good at a certain price for a certain amount of time in the future. This differs from an option contract where the holder has the option to exercise their right, or no let it expire. Futures were originally developed for hedging and storage problems many years ago, but now are widely used as speculation tools.
A future contract obligates the holder to buy or sell a certain good at a certain price for a certain amount of time in the future. This differs from an option contract where the holder has the option to exercise their right, or no let it expire. Futures were originally developed for hedging and storage problems many years ago, but now are widely used as speculation tools.
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11th Nov 2009 In Derivatives
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Subjects: future contracts,