Chapter 01 · Section 1.1

Contract Terms - Futures

                   Forwards             Futures

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

Are the terms of a futures contract:

a) standard for every contract?
• b) particular to each individual contract and variable from contract to contract?
  No. In futures contracts, contracting parties must adhere to the terms (size, delivery place, date, method, etc.) established by the exchange.

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