Derivatives market, or as it is also called, the forward market of futures and options, is a type of the money market. It allows earning good money, minimizing the risks arising from the use of hedging positions, that is, in other words, their insurance.
Unlike major securities derivative securities are derivatives of them or other basic assets, such as currencies exchange rates, gold or oil.
Derivative financial instruments include futures and options.
Futures are a contract with the agreed terms and price for implementing the transaction with basic asset.
For example, buying gold and futures for falling price, the investor receives income regardless of its changes, whether it decreases or increases.
Agreement between market participants, according to which they are authorized to make a purchase and sale transaction at the prices fixed in advance, is called an option. For example, if the client takes an option to buy gold at a fixed price, in case of price increase on the market, the buyer loses nothing, because it was previously negotiated.
Buying derivatives is extremely beneficial because it allows investors to hedge losses in case of unfavorable market situation.
Today, the domestic stock market is conditionally divided into the stock market (SPOT) and futures andoptions market (FORTS).
Due to an available set of instruments of FORTS forward market, investors have every chance to make their speculative transactions maximum profitable.
Advantages of trading in the FORTS forward market:
- Ability to purchase the most liquid instrument of FORTS forward market - futures on the Russian Trading System index.
- High price volatility.
- Minimum rates for transactions.
- Availability of high-tech software that allows you to perform the operation quickly and efficiently.
- The minimum barrier of entry to the market.
When conducting transactions on the market of futures and options, the client should analyze the situation, taking into account possible risks. In a situation of constantly evolving Russian forward market the client may face some questions; and only experienced professionals of the investment business can answer to them. Qualified managers of "Goodtime" company are ready to help their clients by providing professional advice. Due to studying of various aspects of the derivatives market and the nuances of conducting transactions, we offer the customer the opportunity to maximize profits and minimize all possible risks.