By Investment U Research Team As the name implies, the futures market considers the value of assets in the future. Investors in this market seek to capitalize on volatility by limiting it. Moreover, investors make money through futures contracts. These contracts set the price of assets between buyers and sellers and allow investors to profit the difference when economic conditions drive up the price. Investors then trade these contracts within the futures market.
It’s best to think of the futures market as an auction market. It’s also a derivative market, since no assets actually exchange hands. What makes the futures market unique is that …read more
