Chapter 01 · Section 1.1

Contract Terms - Forwards

                   Forwards             Futures

Contract Terms     ........             ........
Delivery           ........             ........
Trading            ........             ........
Margins            ........             ........
Credit Risk        ........             ........
Liquidity          ........             ........
Cash Flow          ........             ........

Are the terms of a forward contract:

• a) standard for every contract?
  No. With forward contracts, contracting parties are free to make their own contract terms (size, delivery place, date, method, etc.).
  b) particular to each individual contract and variable from contract to contract?

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