Financial market is a market full of innovation. Due to the extremely diverse market demand, different financial products are born all the time, but only those products that can effectively meet the needs of most investors can develop and grow. What are the main functions of financial futures? 1 Avoiding risks is one of the most eternal themes for financial investors. Whether it is futures market, stock market or foreign exchange market, the control of risk is the first problem that every investor has to face. However, participants in the financial futures market can control the overall risk by reaching favorable transactions, and spot traders can avoid risks by doing the opposite in the futures market, that is, establishing hedging positions. In addition, the financial futures market attracts a large number of speculators who are willing to take risks because of its security, so that hedgers can transfer their own risks. 2 Price discovery, financial futures market can provide effective price information of various financial commodities. In this market, there are quite a few buyers and sellers, and transactions are reached in the form of similar auctions, which is similar to perfect competition. The transaction price can largely reflect the supply of financial goods and the participants' prediction of future prices. It is precisely because financial futures play such an important role in the financial market that it has become an important part of the global securities market in just a few decades. Not only retail investors and institutions trade in this market, but also the central bank is the main force of investment.