From the perspective of trading, the increase of margin is bad for commodities, because the same amount of funds can be traded less, and the market turnover and positions are reduced, which is not conducive to commodity fluctuations and reduces speculation;
From the perspective of supervision, the increase of margin reduces market risk; From the investor's point of view, the margin increases, the capital utilization rate decreases, and the leverage effect of futures cannot be better utilized when making profits.
Of course, if you are at a loss, raising the margin will help reduce the loss.
Futures margin ratio refers to the payment ratio set when purchasing futures. The calculation formula of the deposit is: first-hand required deposit = latest price × trading unit × deposit rate. For example, if the current price of the hot coil 2 1 10 contract is 5735, then the deposit required for the next multi-order is: 5735×10× 16% = 9176 yuan (Note: suppose the current customer deposit ratio is/kloc. )
Under normal circumstances, the margin ratio is stipulated by the exchange where the trading variety is located. In case of the following special circumstances with high market risk, the Exchange will adjust the trading margin ratio according to the market risk:
1. As the delivery date approaches, increase the margin ratio;
2. When the positions keep increasing and reach a certain level, the Exchange will gradually increase the trading margin ratio of the contract;
3. When the cumulative ups and downs have reached a certain level for several consecutive trading days;
4. When there is a continuous daily limit;
5. When the contract is abnormal;
6. The Exchange believes that the market risk has increased significantly;
7. Necessary information identified by the Exchange;
8. Statutory holidays.
Futures, whose English name is futures, is completely different from spot. Spot is actually a tradable commodity. Futures are mainly not commodities, but standardized tradable contracts based on some popular products such as cotton, soybeans and oil and financial assets such as stocks and bonds. Therefore, the subject matter can be commodities (such as gold, crude oil and agricultural products) or financial instruments.
The delivery date of futures can be one week later, one month later, three months later or even one year later.
A contract or agreement to buy or sell futures is called a futures contract. The place where futures are bought and sold is called the futures market. Investors can invest or speculate in futures.
main feature
The commodity variety, trading unit, contract month, margin, quantity, quality, grade, delivery time and delivery place of futures contracts are all established and standardized, and the only variable is price. The standards of futures contracts are usually designed by futures exchanges and listed by national regulatory agencies.
Futures contracts are concluded under the organization of futures exchanges and have legal effect. Prices are generated through public bidding in the trading hall of the exchanges. Most foreign countries adopt public bidding, while our country adopts computer trading.
The performance of futures contracts is guaranteed by the exchange, and private transactions are not allowed.
Futures contracts can fulfill or cancel their contractual obligations through the settlement of spot or hedging transactions.
condition
Minimum fluctuation price: refers to the minimum fluctuation range of the unit price of futures contracts.
Maximum fluctuation limit of daily price: (also known as price limit) means that the trading price of futures contracts shall not be higher or lower than the prescribed price limit within a trading day, and the quotation exceeding this price limit will be deemed invalid and cannot be traded.