Commodities such as grains, basic food products, metals and energy products trade through standardized contracts called futures contracts. A commodity futures contract is for the future delivery of a ...

Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. Somer G. Anderson is CPA, doctor of accounting, and an accounting ...

What is a Futures Contract? A futures contract is a derivative that gives the buyer leveraged exposure to a commodity asset. Future contracts give the buyer the obligation to buy a specific asset at a ...

When investors trade futures contracts for oil, iron and wheat, they’re helping to establish the market prices for these key commodities. Commodities prices can fluctuate dramatically over short ...

While both approaches have merit, traders who prioritize risk management, smoothness of returns, and reduced emotional strain often find spread trading to be the more appropriate tool. The combination ...

Somer G. Anderson is CPA, doctor of accounting, and an accounting and finance professor who has been working in the accounting and finance industries for more than 20 years. Her expertise covers a ...

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For retirees (or soon-to-be retirees), futures contracts can offer an additional avenue for diversification and hedging opportunities, helping to manage market volatility. However, there are a few ...