Investing For Beginners – Free Investment Articles and Tutorials

Gains and losses are obtained every day in the futures positions that remain open are reflected realistically in the account of the investor. Suppose two investors agree to buy / sell a futures contract on shares of Santander to 15.10 euros. The...

When it performs a buy / sell futures is deferring the actual execution of the operation (delivery of the shares / commodities / etc. by the seller and the buyer money) to a point in the future (date expiration). Therefore it is essential to have all the...

A prospective buyer can fully control their risk through leverage , but the risks of selling futures are not so easily controlled and in principle unlimited. To delineate the known risks to a level that no longer unlimited futures seller must combine its...

The fact that when you buy / sell a future only have to deposit a percentage of nominal operation and security is what allows the ability to leverage the future. This leverage, if not controlled, is causing large losses that may incur to operate with...

An arbitration is an operation that is a sure profit without risk. The purchase of futures contracts in the background is similar to a credit purchase . The formula for the theoretical price of the future is: Theoretical future price = cash price +...

The purpose of the research is to clarify the importance of strategic financial analysis in corporate business, or more broadly between finance and strategy. Far from being confined to the field of corporate finance, financial analysis has extensions and...

Futures have a deadline , after which the future ceases to exist. They are not like stocks, for example, can be maintained indefinitely (unless the company goes bankrupt). It is not possible to maintain a futures contract beyond its expiration...

Futures and options traded on official markets organized like stocks. They offer total security and safety in terms of execution of operations, liquidation of the same, and so on. Its functions include: Establish the characteristics of the...

The futures price evolves in parallel to its active subayacente (IBEX 35, shares of Banco Santander, etc.).. Among the futures price and the underlying asset may be a small difference due to the interest and dividends .This difference usually ranges...

Futures contracts have the following characteristics: Underlying asset: The asset that is referenced the future. For example, in the future on the IBEX 35 is the underlying asset itself IBEX 35 and the case of futures on shares of Banco Santander on...