Let's look at two concepts first. Futures: refers to all contracts for buying and selling financial instruments or physical commodities delivered at any commodity futures exchange in the future. Securities: mainly including bonds, stocks and funds, which are issued by issuers to raise funds, indicating that their holders are directly responsible for the issuers.

Or indirectly enjoy equity or creditor's rights and transferable written documents. Let's look at their differences. First of all, the trading objects are different. Futures trading is based on standard contracts, while stock trading is based on the equity of listed companies. Second, the transaction leverage ratio is different. The margin system is implemented in futures trading, which is generally around 5%- 10%, that is, futures trading has leverage effect, and investors can complete 100% trading only by paying a small amount of margin according to the contract value. The efficiency of the use of funds has improved, and the role of funds has been enlarged. China's stock (spot) trading has no leverage mechanism, and it is a firm trading, that is, "you get what you pay for". When buying stocks, you are usually required to provide 50% to 100% of the stock value for trading. Therefore, the efficiency of capital operation is low. Finally, another major difference between trading futures and stocks is that futures contracts have delivery dates. After buying a stock, you can hold it indefinitely. I bought a futures contract, which will terminate on the scheduled future date. On the termination date, futures contracts are settled in two ways-cash settlement or physical delivery (physical transaction). Most traders hedge their positions (sell what they have bought and buy what they have sold) before entering cash settlement or physical delivery.