Swap trading is another typical financial market innovation business after the emergence of financial futures in the early 1970s. At present, swap transactions have developed from quantity to quality, and even formed a swap market. In this market, one side of the swap transaction puts forward certain swap conditions, and the other side can immediately undertake the corresponding conditions. Using swap transactions, we can raise ideal funds according to different interest rates, foreign exchange or capital market restrictions in different periods.

Swap transactions have the following four forms:

1. Interest rate swap: it means that both parties agree to exchange cash flows according to the same nominal principal in the same currency in a certain period in the future, in which one party's cash is calculated at a floating interest rate and the other party's cash flow is calculated at a fixed interest rate.

2. Currency swap: refers to the exchange of principal and fixed interest of one currency with equivalent principal and fixed interest of another currency.

3. Commodity exchange: It is a special type of financial transaction. In order to manage commodity price risks, both parties agree to exchange cash flows related to commodity prices. Including fixed price and floating price commodity price swap, commodity price and interest rate swap.

4. Other swaps: equity swaps, credit swaps, climate swaps and swap options.

For example, in the first form of interest rate swap mentioned in the title, both parties agree to exchange cash flows in the same nominal principal in the same currency in a certain period of time in the future. "In a certain period of time in the future" here is the concept of futures. Because both sides of the exchange need to hold the interest rate contract in their hands until a specified future day for real trading, during the holding period, the contract documents held by both sides (proving that they have done this transaction) are called positions. As for the commercial position, it refers to the hedging of selling the currency in hand at a favorable interest rate in the futures market to prevent the devaluation of the currency in hand (or the hedging of buying foreign currency at a favorable interest rate in the futures market to prevent the appreciation of the currency in hand), both of which are positions to transfer the currency risk in hand.

To sum up, the commercial position of swap transactions in futures is a futures contract held by spot traders holding currencies or commodities to prevent their currencies or commodities from depreciating in the futures market.

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