Gleneagle Futures
With minimal entry, protect or leverage your investment returns with futures contracts.
What are Futures Contracts?
Futures Contracts are a type of exchange traded derivative security that obligates buyers to purchase, or sellers to sell, an asset at a predetermined future date and price. They have standardised details, such as price, quantity and delivery date, which enables them to be traded on futures exchanges. Most futures contracts are settled in cash.
Protect or Amplify Returns
How do futures work?
Trading Futures Contracts gives you exposure to price movements of underlying securities without having to own them. You may profit from underlying security price rises by taking a long position in a Futures Contract. Alternatively, you may also profit from a price fall by taking a short position.
- Range of delivery month periods that are chosen by the Futures exchange to meet the needs of market participants. Ultimately, this means Futures Contracts have an expiry date.
- Standardised contract size which can be large and require more capital to fund. For example, Treasury bond futures may have a face value of $100,000.
- Delivery arrangements which are specified by the exchange or the seller of the contract. Note that Gleneagle Securities does not support physical delivery of contracts and will cash settle a client’s positions on their behalf at or near the contract expiry date.
Step 1 - open A Position
Step 2- Transact
Step 3- Monitor
Step 4- Close Position
Benefits of Futures Trading
Exchange Traded
Long and short
Hedge Positions
Risks of Futures Trading
Basis Risk
Unlimited Liability
Margin Calls
Frequently Asked Questions
Futures trades can be placed by either calling up Gleneagle brokers directly or through our online webiRESS platform.
Minimum order is 1 Futures Contract. Contract sizes vary depending on the commodity or financial instrument.
Cash or stocks are consider acceptable collateral when trading Futures.
From the time you receive a margin call notification, you have 24 – 48 hours to deposit additional collateral. During times of rapid market movements, you may be required to provide additional collateral earlier. Should this be the case, Gleneagle Securities will notify you.