Futures Trading
Futures Trading is a trading system done in standard form contracts which includes commodities trading, stock indices and other derivative products that could be traded before the contract matures.
The contract can be traded repeatedly before the due date of delivery, in accordance with the wishes of market participants, both in the physical and non-physical markets.
Futures trading has become very attractive among clients who had previously invested in tradable stocks, mutual funds or other forms of physical trade. Futures trading amongst individual have blossomed, after a long time being under the jurisdiction of the banking institution and fund management companies.
Margin Trading
Trading transactions by using margin trading facilities provided allows for one to make transactions in excess of one's paid-up capital.
The trading margin is considered as collateral remitted to the futures brokerage firm which holds it as a security deposit to ensure that one is able to meet payment obligations, while conducting transactions through the brokerage firm.
Margin is defined as the sum of money or a letter of guarantee, which must be placed with futures brokers The futures brokers will forward the sum to the futures clearing house to ensure the implementation of the transaction.
