Silver spot

In terms of trading time, like international spot silver, it is 24 hours, while silver futures trading is different, with time limit, and futures trading has trading deadlines for different contracts. From this point of view, the spot advantage is obvious. You can see the difference between the two in details.

Spot silver is a market maker trading system, and the market maker trading system is a very old and mature trading system, which has a history of one hundred years since its birth. From the reality of the international silver market, it is mainly composed of a large number of silver market makers' network systems that directly face investors. Regardless of the depth, breadth and total capital scale of the transaction, the silver market maker model

It is the undisputed mainstream trading mode in the world silver market.

Spot silver and futures silver mainly have the following differences:

First, the trading time is different.

Futures trading time is only 4 hours a day, while spot silver is traded 24 hours a day, and it can be traded from 8 am on Monday to 4 am on Saturday.

Second, the delivery time is different, and the risk of spot trading is much smaller than that of futures. Futures refers to a standard contract with a delivery period, so it is called futures. The reason why futures trading is so risky is that futures trading has a delivery time limit. Because futures trading must be delivered on the maturity date, if the futures contract price in hand approaches the futures delivery date, investors must close their positions, even if they are at a loss (or even a huge loss). There is no time limit for the delivery of silver spot deferred delivery business, and investors can hold warehouse receipts for a long time without being forced to close their positions.

Third, the difference between market makers and exchanges.

Futures trading generally requires centralized matchmaking trading in futures exchanges. Exchanges must be members to trade, and ordinary customers must trade through member agents. Futures trading shall follow the principle of price priority and time priority. In the futures market, the transaction price is uncertain, because all orders must be matched through a centralized exchange, thus limiting the number of traders with the same price.

The London Silver Exchange, which has the largest market transaction volume and market transaction scale in the international silver market, has no centralized exchange for matching transactions, but the silver market maker network consisting of five silver market makers (internationally renowned banks) and a large number of gold merchants at the next level provides a delayed delivery mode for spot silver. Investors can buy and sell freely, make a deal at any time, and the market price is open and transparent, fair and just!

Fourth, the price formation mechanism is different.

The spot deferred transaction price is quoted by the silver market maker. The customer decides whether to trade with the market maker according to the market maker's quotation. The price formation mechanism of futures trading is the price formed by centralized bidding of all traders in the exchange.

5. Is the transaction object specific?

"Is the transaction object specific?"

It is the biggest difference between futures and spot models. When investors participate in futures trading on the futures exchange, their trading objects are not specific. Any investor who makes a reverse trading declaration on the exchange may be his trading object, and the exchange is the intermediary guarantee link for matching transactions between these non-specific traders. At this point, futures and stock markets are completely similar, both of which are non-specific exchange models. In the market maker trading mode, the trading object is fixed, and the trading object of investors is the market maker. As long as the market maker quotes the buying and selling price, the investor accepts the price and makes a trading decision, the transaction can be reached according to the prior contract agreement between the two parties. After the transaction is concluded, both parties must perform the contract, which is a transaction behavior under the constraints of normal commercial contracts. The most common trading method of market makers is the foreign exchange quotation trading of banks. The trading object of any foreign exchange trading customer is a bank, and the trading object is specific.

Sixth, the issue of margin increase.

For futures contracts, the collection standards of trading margin at different stages of listing operation are different. For example, in the Shanghai Futures Exchange, the margin ratio from the date of listing of the contract is 7%; From the 10 trading day in the second month before the delivery month, the margin ratio will be increased to 8%; The margin ratio will be increased to 1 0% from the 1 trading day before the delivery month/month; From the 10 trading day of the 65438+ 10 month before the delivery month, the margin ratio will be increased to15%; The first day of the delivery month

From 1 trading day, the margin ratio will be increased to 20%.

. In other words, the time to enter the market determines the level of the margin ratio. If investors do not pay attention to additional guarantees when operating,

Gold is easy to be liquidated. Due to the limitation of delivery period, in addition to increasing the margin ratio, it is also necessary to pay before maturity.

Faced with the choice of whether to close the position, if you don't choose to close the position, you must deliver the physical object at maturity. This is no ordinary investor.

Willing to choose.