A forward exchange contract is "a commitment to exchange (buy or sell) one foreign currency for another at a specified exchange rate, with the exchange taking place on either a specified future date or during a specified future period". In a forward contract, one party agrees to deliver a specified amount of one currency for another at a specified exchange [...]
A commodity futures is a contractual agreement between two parties to buy or sell a specified quantity and quality of commodity at a certain time in the future at a certain price agreed upon at the time of entering into the contract on the commodity futures exchange. The primary objective for any futures exchange is effective price discovery and efficient [...]
In this article we will discuss about:- 1. Introduction to Stock Index Futures 2. Stock Index Futures World Over 3. Features of Stock Index Futures 4. Trading in Stock Index Futures 5. Pricing of Stock Index Futures Contract 6. NSE's Volatility Index: India VIX 7. Speculation in Stock Index Futures Trading 8. Hedging with Stock Index Futures 9. Reasons for [...]