Posts tagged ‘contracts’

Basics of Forward Contracts, Futures and Options

Based on request by visitors I am writing this part. It is more of information for beginners.

A forward contract is one where two parties one agreeing to buy and other agreeing to sell, enter into an agreement. One party agrees to sell a particular amount of quantity of any commodity at a particular price determined at present but at a future o date. The other party agrees to buy the same.
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