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How risky is futures trading?
margin payment is big prblem
2 Answers | 266 Views
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What are Securitised Derivatives?
A securitized derivative refers to a couple of things. First, to be securitized simply means there is a aggregation of a number of financial assets which are then convert...
1 Answers | 631 Views
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When do futures contracts expire?
Futures expire on the third friday on their respective expiration months. Since the "front month" contract is the most heavily traded (the contract closest to expiration ...
1 Answers | 523 Views
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What are advantages of derivatives?
There are very few, if any, advantages to derivatives, and it's better that they were not employed as financial tools in any way. The risk of loss is so great, that even ...
1 Answers | 132 Views
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What happens when options expire?
Options always expire at the end of the 3rd Friday of expiration month. The vast majority of options expire worthless. Since options give you the right, but not the oblig...
1 Answers | 131 Views
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What is a futures broker?
Like any other broker, a futures broker is simply a middle man between you and another futures trader. A futures broker accepts your buy or sell order and finds someone ...
1 Answers | 117 Views
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What are the advantages of options?
If traded properly, options can provide many benefits to an investment portfolio. They can provide quick profits for those who buy them long in the same direction that th...
1 Answers | 116 Views
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What are the advantages of swaps?
A credit default swap is really just insurance on an investment. The value of a credit default swap derives from the credit worthiness of the entity being invested in. Cr...
1 Answers | 102 Views
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What are Equity Derivatives?
A derivative is a financial product that is derived from a another asset, index, or value. An equity derivative is a financial product that is derived from a stock or sto...
1 Answers | 85 Views
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What are the different types of derivatives?
There are many different types of derivatives the financial world. A derivative is any instrument that has a value derived from another asset. Options, futures, options o...
1 Answers | 72 Views
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How to trade emini futures?
E-mini futures have become wildly popular for many reasons, but mostly because of the leverage and liquidity. Simply trading them is fairly easy (trading them profitably ...
1 Answers | 69 Views
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What are futures and options?
Futures and options are both a type of derivative. That means simply that their value derives from some other asset. Eg stock, commodity, bond, currency etc. Futures a...
1 Answers | 58 Views
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What are options in trading?
An option is the right, but not the obligation, to buy or sell a good at a specific price at a specific time in the future. Unlike holders of futures contracts, someone h...
1 Answers | 57 Views
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What are oil futures?
Oil futures give you the right to buy or sell a certain amount of oil for a certain price, at a certain amount of time in the future. For example, the full size NYMEX oil...
1 Answers | 48 Views
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What is strike price in options?
I've seen quite a few explanations how strike prices work, and they all seem to me to be overly complex and complicating. A strike price is simply the price at which you ...
1 Answers | 46 Views
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What are financial futures?
Financial futures usually refer to bond futures. For example, the ZN is a future on the 10 year treasury bond.
1 Answers | 44 Views
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What is trading futures?
A future is the obligation to buy a certain good, at a certain price at a certain time in the future. Futures can be used to hedge costs of goods like oil, gold, or soy b...
1 Answers | 43 Views
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What are dow jones futures?
Futures allow you to buy or sell a certain good at a certain price for a certain amount of time in the future. Futures of the DJIA allow you to buy or sell shares of the ...
1 Answers | 43 Views
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What are call options?
A call option contract gives you the right to buy 100 shares of stock (or some other asset) at a certain price for a certain amount of time. Call options are a way of tak...
1 Answers | 41 Views
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Where to trade futures?
There are many, many futures brokers available to those who want to try their h and and futures trading for hedging or speculating. The futures market is subject to vario...
1 Answers | 41 Views
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