In the process of trading, the risk of stock is lower than that of stock index futures, because the price of stock has always been affected by the fundamentals of the company, while stock index futures will be affected by macroeconomic factors. In the less volatile market, stocks usually play a better investment effect than stock index futures, but in the more volatile market, stock index futures often use its leverage effect to get more investment returns.
The investment time of stocks is longer than that of stock index futures, because the quarterly and annual reports of stock companies are fixed, and trading stock index futures can be carried out at any time. Therefore, stock investment is a long-term investment, which requires patience and a fixed holding time to get a return, while stock index futures can be invested efficiently in a short time, but at the same time it needs more cautious and flexible operations to prevent risks.
In terms of settlement, the stock usually adopts T+ 1 settlement, that is, the order is placed on the trading day and settled the next day. Stock index futures are settled according to the requirements of the exchange, which generally requires that the settlement be completed before the expiration date of the product. Futures is characterized by a certain trading margin, so you need to pay attention to the changes of funds in your account during trading to avoid the shortage of funds and affect the investment effect of trading.
Generally speaking, stocks and stock index futures have their own advantages and disadvantages in the investment process, and investors can choose their own investment methods according to their own conditions. At the same time, it should be reminded that in the process of stock and stock index futures trading, we must pay attention to risk control and ensure the safety of our own funds.