Futures price of asset. item Treasury Bond Futures:

Futures are sort of financial contracts which enforce the buyers to buy an asset or the sellers to sell an asset at a future date. Future contracts may either call for delivery of the asset or settled in the cash. Why this term “Financial Future” is important? – to answer this we can say that it controls and manage the risks through hedging. A hedge is a kind of investment which is dedicated to reduce the risk of adverse price movements in an asset. Futures are technically different from options. Options allow an investor to buy or sell the the asset at its expiration and there is no obligation, but on the other hand, the holder of a futures contract is obligated to fulfill the terms of his contract.subsection{Typed of Financial Futures:}egin{itemize}item Currency Futures: The characteristics of currency futures is that these are are transferable futures contract that specifies a date to the holder when he can buy or sell the contract. Limitation of this contracts is, it has to be traded before the expiration or according to the specified delivery date. Moreover, these contracts may reduce the risk of foreign exchange.item Stock Index Futures: Stock index futures are futures contracts on a stock or financial index. For every index, there would be  different multiple prices for the futures contract.item Interest Rate Futures: When we are concerned about paying interest we have to deal with this kind of financial futures. This kind of futures take place between buyer and seller at certain future delivery of asset. In addition. it allows the buyer and sellers to lock the price of asset. item Treasury Bond Futures: Bond futures are obligatory financial derivatives under which contract holders are obligated to buy or sell a bond on a specific date at assumed price.item Eurodollar Deposit Futures: This futures contract was first launched in 1981 at the Chicago Mercantile Exchange. This is marked as the first cash-settled futures contract.


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