Questions tagged [futures]
For questions relating to futures contracts.
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What's funny about "He leveraged his @#% deep into soy beans and cocoa futures" in The Jerk (1979)?
Near the end of the comedy The Jerk (1979), a character explains how their family got rich:
Father: All I did was take the money you sent home and embarked on a periodic investment, in a no-load ...
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Currency hedging for intra-month expense FX rate risk as a US expat = only net drag?
I've been curious for a long time now about a specific hypothetical scenario for my personal situation. I'm a US citizen living and working long-term in Switzerland, and I've kept most of my day-to-...
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How does Binance allocate Margin to Cross mode position?
I'm trying to get my head around the values shown in Binance's Futures position, and how they're related to one another. I'm puzzled about the Margin column in the Positions view.
It appears as if the ...
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treasury bond future confusion
I'm not really understand how treasury bond futures work. Take the 10-Year T-Note Futures. Currently, it lists that the June 2024 one is settling for $109,000 (and each T-Note has a face value of $...
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When do proceeds from futures settle?
When does my money I used to buy a futures contract and the proceeds I got from that contract convert back into buying power. Is it then end of each session, the next day, or two days after I sold my ...
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What are the settlement times trading futures in a cash account
So I’ve been trading options for almost a year now and have decided to give futures a try. I have a cash account not a margin and know that with options once I trade all the settled cash in my account ...
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Initial margin requirement for futures
I am sitting an exam for a certification from the Greek Capital Commission. We have been given multiple choice questions along with their answers in order to prepare ourselves.
I am really confused by ...
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Are the any benefits of using a futures long position with no leverage over a spot buy?
When you want to bet that a price on a certain stock will go up, what are the benefits of going in a futures long position, over doing a spot buy? Assuming that you are not using leverage and doing on ...
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Why do futures allow higher leverage?
Why do futures allow higher leverage? Shouldn't the risk of a futures contract be the same as the spot. In that case, why would brokers feel more comfortable handing leverage to futures traders vs ...
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why would a forward ever have a premium?
In a financial derivatives lecture that I'm watching, the professor brings up an example of where someone might want to use futures. A hedge fund holds a large proportion of Company ABC's shares, ...
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References/terms to search for regarding financial instrument universe selection
When attempting to profit off of the market in one way or another, an entity, be it a fund, individual investor, institution, etc., must first decide on what actual financial instruments are to be ...
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Trying to teach myself futures ,have some queries
I understand the basic idea of futures when it comes to like hedging and companies using it to manage costs, however when it comes to trading them I am completely lost.
All i know is that in a market ...
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Is Having a Superior Spot Predictor Sufficient for Making Money in Futures?
My friend is encouraging me to get into futures trading, but before I do I want to understand something.
Is having a better spot predictor than everybody else sufficient to make money in futures?
For ...
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Market Structure for Futures
I'm confused about how payment for futures contracts works if one sells before expiry. Consider the following scenario with a contract for delivery of good X:
A sells a futures contract to B for $50
...
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How to properly hedge indices futures NQ by selling leveraged index options TQQQ or SQQQ?
Is there a formal futures NQ vs TQQQ options contracts hedging ratio calculation/strategy to tap on the fast decaying value of weekly expiry TQQQ options thereby creating an asymmetric risk-reward ...
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