Benefits: 1 Generally speaking, there is no initial investment cost, only a deposit is needed;

2. In the case of the same basic assets, it can achieve a good hedging effect;

3. Lock in future price risks.

Disadvantages: 1 In many cases, there is no contract that matches the scale, duration or target;

2. Under normal circumstances, there will be a certain basis risk.

2) foreign exchange options

Benefits: 1 In some cases, it can achieve a rate of return higher than the market benchmark (such as put option strategy);

2. The potential benefits are limitless.

Disadvantages: 1 Option fee will be lost when the price development trend is unfavorable;

2. Sometimes there are no required European options in the market, so you have to buy expensive American options.

The above advantages and disadvantages are only partial, and I hope to help the landlord.