Are options futures?
Futures and options are not the same thing One: The concept futures contract is a standardized contract formulated by the futures exchange, which stipulates that a certain number of subject matter will be delivered at a specific time and place in the future. According to the difference of contract objects, futures contracts can be divided into commodity futures contracts, financial futures contracts and other futures contracts. On the surface, both commercial options and futures can buy or sell the underlying assets at some time in the future, but they are quite different in essential attributes. Option contract is the embodiment of the buyer's right to trade the underlying assets at the agreed price on the maturity date, while futures is a commercial way of paying first and then delivering.
What does the futures option mean?
A futures option contract refers to a futures contract that buys or sells a certain number of specific commodities or assets at an agreed price on or before the expiration date of the option. Futures options are based on commodity futures contracts. When the futures option contract is implemented, it is not the commodity represented by the futures contract, but the futures contract itself. Compared with commodity futures, futures options provide a tool for spot traders to avoid risks, while futures options trading provides a tool for futures traders to avoid risks. At present, most futures trading products in the international futures market have launched option trading.
Source Baidu: Caishun Option ~
There are many ways to manage money in the market. In addition to popular financial management methods such as bank financing and funds, investors with certain investment experience and risk tolerance will also be exposed to investment methods such as options and futures. How to trade futures options? Futures options are divided into call options and put options. Investors can reverse buy and open positions and sell positions according to their own needs.