wholesale fashion jewelry london
5 thoughts on “wholesale fashion jewelry london What are the differences between options and futures contracts”
Leave a Comment
You must be logged in to post a comment.
wholesale fashion jewelry london
You must be logged in to post a comment.
wholesale fashion jewelry miami Hello, futures contract refers to the standardized contracts that are formulated by the futures exchange and stipulates that a certain number of target objects in the future will be delivered at a specific time and place in the future. The differences between options and futures contracts are in the following aspects:
1. The rights and obligations of the parties are different: the individual option contract is an asymmetric contract. The buyer of the option only enjoys rights without commitment. The seller only assumes obligations without enjoyment Rights; the rights and obligations of the parties to the futures contract are equal, that is, when the contract expires, the holder must buy or sell the target (or cash settlement) at the agreed price.
2. Different income risks: In options, investors' risks and returns are asymmetric. Specifically, options buyers bear limited risk (that is, the risk of losing rights) and profit may be unlimited. The option seller enjoys limited benefits (limited to the rights obtained) and its potential risk may be infinite; The risk of profit and loss borne by both parties is symmetrical.
3. Different deposit systems: In individual stock options transactions, options sellers should pay margin, and option buyers do not need to pay margin; in futures transactions, whether it is bulls or short, holders need to use a certain deposit as a mortgage mortgage. Essence
4, the balance of value preservation and profitability: Investors use individual stock options to carry out duration of value preservation. While locking the management risk, it also reserves more profitable space, that is, the target stock price moves in the unfavorable direction movement exercise. In time, the risk can be locked in time, and the profit can be obtained when the favorable direction is exercised; 7 investors use futures contracts for the operation period preservation operation, while avoiding the risk of adverse risks, it also gives up the possibility of income change growth.
african american jewelry wholesale Main features of option contracts:
1. The assets include: stocks, foreign exchange, stock indexes, goods, debt tools and futures contracts.
2. The option contract mainly offsets the potential losses risk, and does not hinder contract holders to obtain benefits.
3. Options can be divided into hedging options and loser options, mainly because of different risks. Options can also be divided into American options and European options, mainly because of the different execution time limit. The former owner can execute options at any time before the expiration, and the latter can only execute options on the expiration date.
4. Among the option contracts, the options of the selection of the subject matter of the agreed purchase or selling the target are attributed to the buyer, and the option seller has the obligation to perform.
5. It also has the characteristics of income and risks, different margin payment conditions, unique non -linear profit and loss structure, and so on.
The above content is the opposite of futures contracts, as:
. Futures contracts offset potential losses and potential benefits;
. Rights and obligations Different, options are one -way contract, and futures contracts are two -way;
3. Options only need to pay margin, and the deposit is adjusted in non -proportional, while both parties to the futures need to pay the deposit;
. The option contract itself itself It has a certain value, and the futures itself does not have the actual value;
. The loss of the options buyer is just the right, the profit and loss of the futures are only subject to the change of futures prices;
wholesale finished jewelry Futures are signing a sales contract; the contract must be fulfilled (liquidation).
Iplasia is the right to buy and sell at the agreed price, quantity, time, and time to buy and sell the subject matter. You can exercise rights or give up rights.
wholesale jewelry silver mexico The difference between options and futures
n00:00 / 00: 4170% shortcut keys to describe space: Play / pause ESC: Exit full screen ↑: increase volume 10% ↓: decreases by 10% →: Single fast forward 5 seconds studio Here you can drag no longer appear in the player settings to reopen the small window shortcut key description
mens religious jewelry wholesale 00:00 / 03: 1870% shortcut keys to describe space: Play / suspend ESC: exit full screen ↑: increase volume 10% ↓: reduced volume decrease by 10% →: single fast forward 5 seconds studio Here you can drag no longer appear in the player settings to reopen the small window shortcut key description