What are futures? What types of futures are included? 2021 Futures Comprehensive Explanation

　　In general,futures are the subject matter of later trading and settlement,which can be commodities on the market,such as agricultural products,crude oil,gold,etc.The settlement time of futures is also more variable,which can be one week or one year.According to previous statistics,Europe is the place where the futures market first appeared.For example,ancient Rome and Greece used to use relatively formal barter transactions,as well as activities with the nature of futures trading.

　　At present,futures are mainly divided into two parts,namely commodity futures and financial futures.At the same time,these two parts can be subdivided into different types,and commodity futures can be subdivided into metal commodities,energy commodities,agricultural products,etc.Financial futures mainly refer to traditional financial commodities or tools,such as stock indices,treasury bonds,interest rates,exchange rates,etc.Commodity futures Agricultural futures:such as soybean,soybean oil,soybean meal,wheat,corn,cotton,rapeseed oil,palm oil and other metal futures:such as copper,aluminum,tin,lead,zinc,nickel,gold,silver,steel bars,etc.Energy futures:such as crude oil,PTA,fuel oil,asphalt,natural rubber,financial futures,stock index futures:refers to the standardization of the stock index as the subject matter futures contracts.At present,it mainly includes three major products:CSI 300,CSI 500 and SSE 50.Treasury bond futures:It is an advanced financial derivative tool.On September 6,2013,treasury bond futures were officially listed on the China Financial Futures Exchange.At present,the main products include 2-year treasury bonds,5-year treasury bonds and 10-year treasury bonds.Interest rate futures:Interest rate futures refer to futures contracts with bond securities as the underlying.Generally,it can be divided into short-term interest rate futures and long-term interest rate futures.

　　For 2021 futures,it will continue to strengthen for now.This is mainly due to the fact that the international market has been affected by the fluctuation of the epidemic,and most commodities have experienced price differences of varying degrees,including oil,gold,agricultural products,etc.At this time,investors should be rational when investing,and should not blindly follow the trend,but should wait for the opportunity.The volatility of the futures market will be relatively large,but soybean oil palm and fuel asphalt may remain active for a long time.According to the situation in the second and third quarters,the prices of commodities such as glass and iron ore will continue to rise.In the future,other commodities will continue to rise.There will be room for continued growth.

　　In fact,futures refer not to commodities,but to tradable contracts based on commodities such as soybeans,oil,cotton,and stocks.There are many subject matter of futures,which can be common oil,gold,agricultural products,etc.The rules of futures contracts are relatively standardized,including commodity varieties,transaction units,quantity,margin,contract month,quality,delivery location,time,etc.,but there are also certain variables,such as price,which is a common variable in futures.

　　The more common commodity futures and financial futures.The main varieties of the first type of futures can be divided into metal,agricultural futures,and energy futures.In terms of financial futures,it mainly includes interest rate futures,foreign exchange futures,and stock index futures.The subject matter of stock index futures is the stock index,and both parties of the contract can trade the price of the stock index after a period of time,and then carry out specific delivery according to the difference in cash settlement.The subject matter of interest rate futures is bonds and securities.Under normal circumstances,fluctuations in bank interest rates will not lead to serious losses on both sides of the transaction.At present,the main varieties of foreign exchange futures trading are:US dollar,British pound,German mark,Japanese yen,Swiss franc,Canadian dollar,Australian dollar,French franc,Dutch guilder,etc.Globally,the main market for foreign exchange futures is the United States.

　　Advantages:Futures trading has the characteristics of standardization and simplicity.Futures trading is done by buying and selling futures contracts,which are standardized contracts.At the same time,the venue for futures is fixed,and futures trading is conducted on a legally established futures exchange,and no over-the-counter trading is allowed.Futures are easy to solve.There is no relationship between the two parties of futures transactions.Only the settlement institution is regarded as its counterparty and is only responsible for the settlement institution,and the futures delivery must be carried out in the delivery warehouse designated by the exchange.Concentration of futures trading means that futures trading is not conducted through a direct meeting between buyers and sellers who actually need to buy and sell futures contracts on the exchange,but is conducted by futures companies on behalf of buyers and sellers in the futures trading hall.Futures also have a margin system,which can provide performance guarantees for traded futures contracts.

　　Disadvantages:Futures transactions are generally only agreed upon by both parties to trade in the future by reasonably predicting changes in the stock index according to some conditions determined by both parties.It can be seen from this store that the basis of futures trading is the expectations of both parties to the future,so whether the expectations are accurate or not will be more important and will determine whether investors can make profits.Futures trading does not require full payment of the contract value,and only a certain percentage of margin is required to sign a large-value contract.While income may be multiplied,so too will the losses that investors may incur.The price of linked futures is closely related to changes in the stock index of its underlying asset.For example,stock index futures are an expectation of future prices,so it also mirrors the stock index to a certain extent.The leverage of high-risk and risk-diversified futures makes it riskier than the stock market.In addition,there are certain credit risks and settlement risks in futures trading,and the market lacks liquidity risks caused by counterparties.

　　Futures trading For individuals,the stock index futures market is relatively simple and easy to use.When individual investors predict that the stock market will rise,they can buy spot stocks to add to their positions,or they can buy stock index futures contracts.Both methods are beneficial when predictions are accurate.In contrast,the transaction fees for buying and selling stock index futures are cheaper.When individual investors predict that the stock market will fall,they can sell existing stock spot or stock index futures contracts.Selling goods is all about converting previous paper profits into real profits.This is a position closing action.When the stock market does fall,it can no longer be profitable.Selling a stock index futures contract in order to profit from a correct prediction of the future is an act of opening a position.Due to the short selling mechanism,when the stock market falls,you can make a profit by selling stock index futures contracts even if you don't have stocks in your hands.

　　Investors should pay attention to using their spare money to speculate,because in this way,success or failure will not make much difference.At the same time,you should pay attention to defeating emotions with reason,so that the probability of making money will be relatively large.The most important thing for individuals to speculate on futures is to control their own funds.If it's an uncertain profit,I'd rather buy less than more.Because the more you buy,the greater the risk.There are two advantages to not buying,one is that you can safely set profit targets and then wait to buy to actually.If you don't wait for a dip,you can also increase your position,lower the pips,and then set a lower buy target.Second,you don't have to worry too much,you can use the remaining money to make other investments.