PRODUCT
Index
Stock index futures are futures contracts on a stock or financial index.
Index
Stock index futures are futures contracts on a stock or financial index. TridentPro Future offers futures contracts on major Asian indexes such as Kospi, Hang Seng and Nikkei 225; as well as US indexes such as NASDAQ, Dow Jones and the S&P 500. A stock index is comprised of stocks from selected multiple companies and therefore cannot be traded directly (no ownership of a stock index certificate). One way investors can trade stock indexes directly is through the futures contracts.
Here are the Key Advantages of Trading Stock Index Futures :
- Stock Index Futures provide investors with the opportunity to invest in a stock market without purchasing the shares directly.
- It is a very liquid market; contracts are traded in huge numbers every day.
- Two-way profit potential. When trading stock index futures, profit potential exists in both rising and falling prices since there is no restriction for directional trading.
- The futures stock index market is more efficient and fair than trading stocks directly because it's difficult to trade on inside information in the futures market.