investing

What are futures?

 

What are futures?

The Bankrate.com financial term of the day is: "Futures"

Futures are speculative investments that allow you to effectively place bets on what certain assets, such as stocks and commodities, are going to cost down the road. With futures, you agree to buy the thing for a certain price at a certain time.

Futures allow buyers and sellers to avoid some uncertainty by locking in prices, sometimes far in advance.

For answers to all of your investing questions, visit the Investments section at Bankrate.com.
 

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