The full name of stock index futures (SPIF) is stock index futures, which can also be called stock index futures and futures index. It refers to the standardized futures contract with the stock price index as the subject matter. The two parties agree to buy and sell the underlying index according to the size of the stock price index determined in advance at a future date, and settle the difference in cash after the expiration. As a type of futures trading, stock index futures trading has basically the same characteristics and processes as ordinary commodity futures trading. Stock index futures are a kind of futures, which can be roughly divided into two categories, commodity futures and financial futures.

Operation skills:

First, when individual investors predict the rise of the stock market, they can buy stocks to increase their positions, or they can buy stock index futures contracts. When the prediction is accurate, both methods are profitable. In contrast, the transaction cost of buying and selling stock index futures is relatively cheap.

Second, when individual investors predict that the stock market will fall, they can sell the existing stock spot or stock index futures contracts. Selling the spot is to turn the previous book profit into actual profit, which is a liquidation behavior. When the stock market really falls, it can no longer be profitable. Selling stock index futures contracts is a correct prediction of the future and a profit, and it is a kind of opening behavior. Because of the short selling mechanism, when the stock market falls, even if there is no stock in hand, you can make a profit by selling stock index futures contracts.

Third, for long-term investors who hold stocks, or investors who cannot sell stocks for some reason, when they are pessimistic about the short-term market prospects, they can continue to hold positions in the spot market by selling stock index futures, while locking in profits and transferring risks.

The difference between stock index futures trading and stock trading;

First, stock trading is the transfer of shares; Stock index futures trading is a direct long or short transaction after buyers and sellers judge the rising and falling trend.

Second, from the perspective of margin system, both futures and stocks implement margin system, which is a contract transaction. Stock index futures only need a margin of 20% of the contract value.

Third, from the perspective of contract effectiveness, stocks are long-term effective as long as they exist in listed companies. Stock index futures trading has a final delivery date, on which the contract will be delisted and terminated after cash delivery and liquidation by the buyers and sellers.

Fourth, the number of shares in circulation of a single stock in the stock market is fixed, and the total number of shares does not change with the transaction except for additional issuance, share offering and allotment. The total number of positions in the futures market is variable, the capital inflow increases and the capital outflow decreases.

Fifth, the operation of the stock market is "one-way", and it can only be bought first and then sold; The operation of the futures market is two-way, you can buy before you sell, or you can sell before you buy, which is more flexible.

Sixth, because the stock trading is T+ 1 trading and the stock index futures trading is T+0 trading, the shortest holding time can be changed hands within two minutes after opening the position, which is extremely liquid.