Futures
A standardized financial contract that requires the buyer to buy or the seller to sell underlying bond, stock, currency or commodity at determined price and date in the future.
The biggest difference between futures and option are that holder of futures is obligated to buy or sell the underlying asset, while option holder has the right to buy or sell the underlying assets at expiration date.
| Related Terms: Contango Fungible General Securities Representative Exam Hedge Index Arbitrage Interest Rate Futures Intermarket Spread Delivery Month Intercommodity Change Last Trading Day |
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