Futures financing, also known as futures fund allocation, refers to the fund allocation company providing futures investment accounts and funds and entrusting customers to conduct transactions and operations. In order to ensure the security of the accounts and funds of the fund-raising company, the customer must submit 15%-20% of the total funds to the fund-raising company as a risk deposit before the transaction. The profitable part of the account transaction belongs to the customer. Similarly, customers should bear all the transaction risks. Losses arising from customers' transactions shall be deducted from the risk deposit paid by customers to the fund-raising company. The fund-raising company provides customers with reasonable handling fee settlement standards and unilaterally accepts all positions.

Advantages of futures financing:

1, and futures trading will receive sufficient financial support;

2. The fund-raising company does not extract the profit share, and the handling fee is gradient preferential. The larger the amount, the better the handling fee.

Disadvantages of futures financing:

1, which virtually expanded the leverage ratio and increased the trading risk.

2. It can only be completed in days, not overnight (a small amount of self-owned funds can be overnight)

3. Investors' funds are not guaranteed, and the funds and trading accounts are under the name of the financing fund-raising company. Although the investor is a borrower, the other party's funds have not actually been transferred, and the loan relationship between the two parties is vague, so it is difficult for the investor's own funds to be protected by law.