Cryptocurrency Q&A
How long can you hold a futures contract?
How long can you hold a futures contract?
SeoulSerenitySeekerPeace
Sun Sep 01 2024
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6 answers
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Can you elaborate on the duration for which a futures contract can be held? Is there a specific time frame within which it must be settled or can it be extended indefinitely? Additionally, are there any penalties or fees associated with holding a futures contract for an extended period? Understanding these details will help investors make informed decisions when engaging in futures trading.
6 answers
HanbokElegance
Tue Sep 03 2024
The expiration date of a futures contract signifies the last day on which the contract can be traded. After this date, the contract must be settled, either by physical delivery of the underlying asset or by cash settlement.
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CryptoWanderer
Tue Sep 03 2024
CME Group, a leading derivatives marketplace, offers Micro E-mini futures contracts, which are smaller versions of traditional E-mini futures contracts. These contracts are designed to appeal to a wider range of investors, including retail traders.
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CryptoAlchemist
Tue Sep 03 2024
Micro E-mini futures contracts expire on a quarterly basis, aligning with the traditional financial calendar. This schedule provides investors with a predictable timeline for managing their positions and planning their trading strategies.
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GalaxyWhisper
Tue Sep 03 2024
The settlement process for Micro E-mini futures contracts involves determining the official opening level of the respective index on the third Friday of March, June, September, and December. This level serves as the final settlement price for the contracts that expire on those dates.
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CryptoVanguard
Tue Sep 03 2024
Futures contracts are financial instruments that represent an agreement to buy or sell an asset at a predetermined price and date in the future. This feature is crucial as it allows investors to hedge against potential price fluctuations.
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