Futures

Stock index futures, such as the S&P 500 E-mini Futures (ES), reflect expectations for a stock index’s price at a later date, based on dividends and interest rates. Index futures are two-party agreements that are considered a zero-sum game because when one party wins, the other loses, and there is no net wealth transfer. While […]

To short the Dow, you can sell a Dow commodity futures contract. You must open a margin account and open an account with a commodity futures brokerage provider. To trade one basic contract, you must deposit $5,500 as an initial margin and hold $5,000 as maintenance margin. As the Dow drops, the price of the

Futures contracts for the DAX require you to trade the index at a set price on a specific date. Let’s say the Germany 40 is currently trading at 13,115, and you decide to purchase a futures contract that will provide a price of 13,200 in a month. The index is trading at 13,335 after a

Oil futures are a thrilling asset to trade, but don’t be fooled by their allure; they’re not for everyone. Before you go in, make sure you’re aware of the risks involved with trading these assets: One Contract Represents 1,000 Barrels of Oil With 1,000 barrels of crude represented by one contract, a $0.50 drop in

The theoretical calculation of how a futures stock index contract should be priced considering the current index value, dividends paid on stocks in the index, days till the futures contract expires, and current interest rates is known as the fair value. What is the difference between futures and fair value? While futures forecast where the

Binance. Both US and Kraken are U.S.-based exchanges with low trading costs when compared to competitors like Coinbase. Both platforms have established KYC standards to assist prevent fraud and protect users, as well as industry-standard security features such as multi-factor authentication and wallet whitelisting. There are, however, some significant differences between the two platforms: Over

Managed futures is a type of investment in which specialists actively manage a portfolio of futures contracts. Managed futures are a type of alternative investment that is frequently utilized by funds and institutional investors to diversify their portfolios and markets. Is it wise to invest in managed futures? Managed futures ETFs are the most popular

You can invest in oil commodities in a variety of ways. Oil can also be purchased by the barrel. Crude oil is traded as light sweet crude oil futures contracts on the New York Mercantile Exchange and other commodities markets across the world. Futures contracts are agreements to provide a specific quantity of a commodity

Crude oil is a volatile commodity that is used in transportation and manufacturing all over the world. Oil futures and options, related ETFs and ETNs, and energy equities can all be traded directly or through ETFs and mutual funds to speculate on the price of petroleum. Tracking error exists in commodity and midstream exchange-traded funds,

With the constant presence of uncertainty in the globe, money managers and commercial entities must have instruments at their disposal to mitigate risk and lock in pricing that are vital to their operations. Futures allow sellers of the underlying commodities to know exactly how much their products will cost at the market. Simultaneously, it will