What is the Futures Market? Hedging and Risk Management

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  • Math

  • High School

  • 12th grade

  • Calculus and Advanced Math Concepts

  • English

Author's Instructions

Futures contracts are tools for trading and speculation or risk hedging; futures contracts allow retail traders and large companies to manage the risk of price increases or decreases by fixing prices in the future.

Additionally, futures contract data is used to predict market sentiment or trends in financial markets.