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What Is Stock Index Futures?

2011/4/12 14:06:00 57

Stock Index Futures And Futures Contracts

If you know what is

Stock Index Futures

First of all, we should understand separately what is stock index and what futures are.

In fact, it is easy to say that stock index futures make profits through forecasting the rise and fall of stock index, but the general individual is best not to.

What is stock index - stock index:

Stock index is the abbreviation of stock price index: stock price index or stock index.

It is a kind of reference figure compiled by stock exchanges or financial services institutions to indicate the fluctuation of stock market.

Because of the volatility of stock prices and the fact that there are so many stocks, it is even more troublesome. So some financial services organizations use their business knowledge and familiarity with the market's advantages to compile stock price indices and publish them publicly as indicators of market price changes.

What can the stock price index do?

Investors can test the effect of their investments and predict the trend of the stock market.

What is futures? Futures:

Futures usually refer to

Futures contracts

。

It is a standard combination made by the futures exchange, which stipulates that a certain quantity of objects should be delivered at a specific time and place in the future.

Of course, the stock here refers to the stock index.

Both parties have to fulfill their obligations when the contract expires.

Stock Index Futures (stock price index futures), also known as stock index futures and futures index, refer to the standardized futures contracts with the stock index as the subject matter, and the parties agree that they can be determined in advance on a specific date in the future.

Stock index

The size of the index is traded.

As a type of futures trading, stock index futures have basically the same characteristics and processes as ordinary commodity futures trading.