Futures: mainly not commodities, but standardized tradable contracts with certain mass products such as cotton, soybeans and oil and financial assets such as stocks and bonds as the subject matter. This subject matter can be commodities (such as gold, crude oil, agricultural products) or financial instruments. The margin ratio in the futures market is about 5%- 10%, with low margin ratio and large leverage, which amplifies the risks and benefits of investment.
Trading hours are different:
Generally, spot trading lasts for 22 hours (usually from 7 am to 5 am the next day), while futures trading only lasts for 9 hours.
Different ways of holding:
Futures is a contract system, that is, delivery at maturity. There is a contract maturity date, and it is stipulated that delivery/movement must be made at maturity.
Transfer is divided into unit transfer and price transfer. For example, if you spend 50,000 yuan to buy 100/ barrel 05 crude oil futures, you can choose to keep the number of barrels or the total value unchanged until June.
There is no spot, as long as the account has enough funds, it can be held all the time.
Different financing thresholds:
Investment in futures requires a large amount of funds, with 30,000 yuan to 50,000 yuan belonging to the lowest category. The trading threshold of spot electronic disk is low, which is similar to that of stock. The investment is as small as several thousand yuan.
Different complexity:
The futures market changes rapidly and fluctuates greatly. At the same time, there are many factors that affect price fluctuations, which are difficult for ordinary investors to grasp.
The market trend of spot electronic trading is relatively stable and the market trend is continuous. At the same time, the factors affected by price fluctuation are relatively simple, and the main news is the relationship between supply and demand, which is easy for ordinary investors to grasp.
Different profitability:
Many people think that the profitability of futures is great, but in fact, futures are not only risky, but also have a high cost per lot, which reduces its profitability. For example, if you spend 5,000 yuan, you can buy sugar for futures, fluctuate by two points, earn 20 yuan, be out 10 yuan, and make a net profit 10 yuan.
Invest in spot electronic transactions, such as spot gold, buy it at 1700 and sell it at 1705, earning 5 points. The difference between handling fee and net profit will not exceed 1 point at most, with net profit of 4 points and leverage distance of 100. 1 hand has a net profit of $400 and a cost of only $800. From the above analysis, it can be seen that spot electronic trading is better than futures.
Different trading systems:
Spot is a market trading system, that is, buy and sell; Futures, like the stock market, is a matching transaction system (bidding transaction), that is, someone must sell it before you can buy its goods. Similarly, if you want to sell, someone must buy your goods.