Futures is a standardized contract. By buying and selling futures contracts, investors can participate in more transactions with less money, thus obtaining higher leverage. For example, Sun replied that if a standard crude oil futures contract is 65,438+0,000 barrels and the price is $50/barrel, the contract value is $50,000. If you only need to pay a deposit of $5,000, you can control a crude oil contract worth $50,000, which means that your leverage ratio is 10 times. The leverage ratio of futures is usually lower than that of options.
The leverage effect of options depends on the type of options and price changes. For call options and put options, investors only need to pay the option fee to control a larger number of split shares. If the stock price rises, subscribing for options will bring higher returns. If the stock price falls, put options will bring higher returns. Therefore, the leverage effect of options is usually higher than that of futures, because the cost of options is usually lower and the income of options is limited, while futures can make unlimited profits or bear unlimited losses.
In short, both futures and options can provide leverage, but the characteristics of leverage and risk are different.