Forward contracts also have some obvious shortcomings. First of all, because there is no fixed centralized trading place for forward contracts, it is not conducive to the disclosure of market information, unable to form a unified market price, and the market efficiency of forward contracts is low; Secondly, there are great differences in the delivery place, maturity date, delivery price, trading unit, quality of underlying assets and other details of forward contracts, which brings great inconvenience to the circulation of forward contracts, so the liquidity of forward contracts is relatively poor; Finally, the performance of the forward contract can not be guaranteed. When the price changes are beneficial to one party, the counterparty may be unable or unwilling to perform the contract according to the regulations, so the default risk of the forward contract will be higher.