Futures company-the agency between the futures exchange and the final customer, that is, the intermediary of futures trading. The futures company accepts the client's entrustment, sends the client's trading instructions to the exchange, and then returns the trading results to the client. Futures companies provide customers with settlement and capital access services to control their trading risks.
Non-futures company settlement members-settlement banks, also known as "special settlement members", provide settlement services for futures companies without (direct) settlement qualifications (settlement qualifications of China Financial Futures Exchange) and bear settlement risks.
General settlement members-they directly settle accounts with the exchange, and also provide settlement services for other futures companies that are not qualified for settlement (of course, they also bear the corresponding settlement risks).
Extended data 1, small and wide. Futures trading only needs to pay 5- 10% performance bond, and it can complete several times or even dozens of times of contract transactions. Due to the leverage effect of the futures trading margin system, it has the characteristics of "small and wide", and traders can use a small amount of funds to conduct large transactions, saving a lot of working capital.
2. Two-way transaction. In the futures market, you can buy first and then sell, or you can sell first and then buy, so the investment method is flexible.
3. Don't worry about performance. All futures transactions are settled through the futures exchange, which becomes the counterparty of any buyer or seller and provides guarantee for each transaction. So traders don't have to worry about the performance of the transaction.
4. Market transparency. Trading information is completely open, and trading is conducted by means of open bidding, so that traders can compete openly under equal conditions.
5. Tight organization and high efficiency. Futures trading is a standardized transaction with fixed trading procedures and rules, which are linked one by one and operate efficiently. A transaction can usually be completed in a few seconds.
Baidu encyclopedia-futures trading