What are Futures?

Do you have to sell the commodity at the spot price when the contract completes? Or can you choose to hold the commodity instead?

Derivatives Lawyer here (no, seriously!). This is a very good explanation in only 10 minutes!

@01:57

a future is a derivative agreement that involves the sales of something at future date. with a predetermined price (forward price)

If you don’t receive the gold, how do you know it even exists?

They sent me a piece of paper that says that it does, and if it didn’t I would legally be able to …..
Sue them? Chase them in court?

If you don’t receive the gold, how do you know it even exists?

So you just explained Fort Knox

It sounds like gambling oh, you just betting on what you think it’s gonna happen

It sounds like gambling oh, you just betting on what you think it’s gonna happen

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Thanks for publishing this! I need help: My Trust Wallet contains some USDT, and I have the backup phrase: clean party soccer advance audit clean evil finish -tonight involve whip -action-. How to proceed with transferring them to KuCoin?

👌🏾

That one guy on WSB who almost had to take delivery of a bunch of crude oil because he bought when the price was negative is a hall of famer.

Way too much jargon, why do people seem to be allergic to speaking in plain terms, its not hard and actually makes you sound smarter than using a load of technical jargon that will just stop people from paying attention. Regards, Troglodyte.

Thank you for publishing this! I need help: My Safe Wallet contains some USDT TRX20, and I possess the recovery phrase: clean party soccer advance audit clean evil finish -tonight involve whip -action-. Could you suggest how can I go about transferring them to Bybit?

Oh boy, can you remember when gold was only $1500! What a time to be alive lol

What is the difference between short and long futures?

Are futures a type of derivative?

Let's get real, furtures means gambling. Plain and simple.

Love your content bro

Great choice FUTURES with Preductim FREE Signals, really rally up... 🗽🎲🎰

"subscribe for future videos"
me, an intellectual : I thought this was the future video

I promise to look up the definition of Futures in a year’s time, when I’ve forgotten how they work, yet again.

This video is packed with valuable information! The explanation at [7:15] about managing risk is spot on. Looking forward to more content like this!

Great video, very easy to understand

You deserve more subs! Thank you very much for the futures market!

So who owns the gold?? lol

you are talking too fast for someone who knows nothing about futures and watches this, had to pause the video many times

Wow

this sounds like a simple version of options which forces u to use ur contract T^T

Love it so much my favorite woo🎉🎉🎉🎉🎉🎉🎉

Everybody like this comment

Most producers just pass on the cots to the customers.

5:10 What's the difference between a cash-settled future and a contract for difference?

I just happened to be drinking orange juice while watching this.

🎯 Key Takeaways for quick navigation:

00:00 📈 Futures and Their Origins
- Futures contracts originated as a means for producers to manage business costs.
- They have evolved into a fundamental component of the investment industry.
- Producers initially used futures contracts to hedge against fluctuations in commodity prices.
01:13 💰 Understanding Futures Contracts
- Futures involve selling or buying an asset at a predetermined price on a future date.
- Long positions agree to buy the asset, while short positions agree to sell it.
- Parties are obligated to carry out the transaction at the agreed-upon date, regardless of profit or loss.
02:51 🔄 Speculating with Futures
- Futures contracts are widely used by speculators to gain exposure to various assets.
- Speculators can use futures to profit from price movements without owning the physical asset.
- Futures provide exposure to commodities, financial assets, and indices like the S&P 500 and Bitcoin.
04:45 🔍 Managing Futures Contracts
- Futures contracts can settle in cash instead of physical delivery of the underlying asset.
- Positions can be closed out before expiration by offsetting with an opposite position.
- Standardization and exchange trading make it easy to enter and exit futures contracts.
06:36 ⚠️ Risks Associated with Futures
- Futures involve leverage, amplifying potential gains or losses.
- Leverage allows investors to control a larger position with a fraction of the contract value.
- Inexperienced investors should approach futures cautiously due to the potential for substantial losses.
07:47 📊 Applications and Insights from Futures
- Futures can alter the risk-return profile of a portfolio and hedge against market risk.
- Future prices provide insights into market consensus and asset valuation.
- Future curves visualize price expectations over different contract expiration dates.

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Just call it Salary

Thank you!

Thank you so much for your content. I really learn a lot here.

so one of function is we can hedge our speculative asset such as crypto to the futures contract that has negative correlation within crypto so we hedged against the risk of the crypto. is it the case?

Love this. Short and easy to follow. When explained this way it expands your knowledge further more easily. 🙏 I am an OAP woman getting to grips with this 😂

Sounds like the same as options with stocks

Why the fk would i want to buy 1oz of gold of 1550$ in the future when its 1500$ now.

what’s the difference between futures and options ?

BEST!!!