Title: Currency Futures - Reliance Smart Money
1Top 4 Benefits of Futures Over Options
2Liquidity
- This is one of the major benefits of futures over
options. Most future markets are very liquid and
deep, especially in the most commonly traded
commodities, indexes, and currencies. Therefore,
this assures that traders can enter or exit
positions anytime when required. On the other
hand, options may not have sufficient liquidity.
3Futures are best for trading certain investments
- Future may not be the best way for stock trading,
but they are great for trading certain
investments such as indexes, currencies, and
commodities. Their exceptional features and very
high level of leverage make them very useful for
the risk-tolerant retail investors. In fact, it
allows investors to participate in the market to
which they might not have any access.
4Fixed trading cost
- The margin requirement for both commodity and
currency futures are well known because they have
not been changed for years. Margin requirement
may be changed when an asset is volatile, but in
most of the cases it remains unchanged.
5No time waste
- This is one of the best advantages of futures
over options. Options are waste assets as their
value declines over time, which is known as time
decay. There are several factors that influence
the time decay of an option. Moreover, an option
trader has to pay attention to this thing as it
can severely tear away the profitability of an
option. On the other hand, futures do not have to
cope with time decay.
6- Besides, while buying or selling currency
futures, you can choose Reliance Smart Money as a
currency trading platform.