Futures & options
Also called: Future, Futures
A futures contract is an agreement to buy or sell an underlying — an index or a stock — at a set price on a future expiry date. Unlike an option, both the buyer and the seller are obliged to settle it.
You buy one lot of a stock future at ₹1,000. If the future settles at ₹1,040 on expiry, you gain ₹40 per share times the lot size; at ₹960 you lose the same amount. Margin is blocked while the position is open.
A futures contract is an agreement to buy or sell an underlying — an index or a stock — at a set price on a future expiry date. Unlike an option, both the buyer and the seller are obliged to settle it.
You buy one lot of a stock future at ₹1,000. If the future settles at ₹1,040 on expiry, you gain ₹40 per share times the lot size; at ₹960 you lose the same amount. Margin is blocked while the position is open.
No. Futures contract describes one aspect of a company, a price or a contract, and it is best read alongside other numbers and the business itself. Jivani Markets is a research and education platform; it does not give buy, sell or hold recommendations.