2. The full name of stock index futures is stock price index futures, which can also be called stock index futures and futures index. It refers to the standardized futures contract with the stock index as the subject matter. The two sides agreed that on a specific date in the future, they can buy and sell the underlying index according to the size of the stock index determined in advance. As a type of futures trading, stock index futures trading has basically the same characteristics and processes as ordinary commodity futures trading.
3. The essence of futures is to sign a long-term contract with others to buy and sell commodities (or stock index, foreign exchange, interest rate) in order to achieve the purpose of maintaining value or making money. If you think the futures price will go up, go long (buy and open positions), go up (sell) and close positions, and earn: price difference = close positions-open positions. If you think the futures price will fall, short (sell the position), fall (buy) and close the position, and earn: price difference = opening price-closing price.
The basic system of futures trading:
1, the position limit system refers to the system in which futures exchanges limit the number of positions held by members and customers in order to prevent market price manipulation and excessive concentration of futures market risks on a few investors. If the amount exceeds the limit, the exchange may, as necessary, forcibly close the position or increase the margin ratio.
2. Large-sum declaration system means that when the speculative position of a certain position contract of a member or customer reaches more than 80% (inclusive) of the position limit stipulated by the exchange, the member or customer shall declare his capital and position to the exchange, and the customer shall declare it through the brokerage member. The large household declaration system is another system closely related to the position limit system to prevent large households from manipulating market prices and control market risks.