Hedging and speculating through futures trading
StoneX’s expert traders pair deep understanding of global market dynamics with local intelligence to help our clients protect margins, manage volatility and increase profits.
The StoneX approach to futures trading
The worldwide market has never been more competitive, volatile or complex. Learn why clients trust us to execute their trading needs.
With memberships to 36+ exchanges and offices located across 6 continents, StoneX connects clients to the global derivatives market. We partner with investors worldwide, offering us valuable insight into how unique geographical nuances play a role in the market. We trade futures in the following markets:
- Agricultural
- Currency
- Energy
- Financial
- Metals
StoneX’s veteran consultants have extensive experience in the alternative asset arena and are available to educate and assist investors in building a portfolio that will be a valuable risk management tool for true investment diversification. We utilize in-depth statistical research to help find the right combination of managers for a portfolio and provide reports to assist you in evaluating these traders on a daily basis.
StoneX’s advanced technology networks allow clients to trade thousands of products over desktop, web and mobile platforms, and access institutional grade liquidity to execute their futures and options trading needs efficiently and effectively.
Why trade futures?
Hedge
Futures contracts help our clients manage the future price risk of commodities in their operations or investment portfolios. If you have an existing position in a commodity or stock, a future contract can protect unrealized profit and minimize loss in a moving market.
Speculate
For investors and traders who do not own the underlying commodity, futures contracts allow them to express an opinion about and potentially profit from the direction of the market for a chosen commodity. Traders and fund managers utilize futures to bet on the price of the underlying asset.
Diversify
Futures trading provides our clients with direct market exposure to underlying commodity assets that are not typically found in other markets. StoneX offers a wide array of investments including metals, interest rates, indexes, oilseed, energy, grains and livestock.
Leverage
The required initial margin amount with futures is typically set between 3-10% of the underlying contract value. This leverage gives our clients the potential to generate larger returns relative to the amount of money invested.
Enhance liquidity
Futures are standardized and traded on regulated exchanges and increase the underlying trading volumes as a whole. Higher trading volumes create more opportunities to enter and exit trades.
Consider options on futures
The StoneX futures team helps clients reduce portfolio risk by utilizing options on their futures contracts. This strategy enables our clients to diversify risk, hedge existing positions to limit risk or trade more volatile markets at a reduced cost.
Upcoming events
FAQ
What is futures trading?
A futures contract is a legal agreement to buy or sell a specific commodity asset or security at a predetermined future price and date. When a futures contract expires, the buyer is obligated to buy and receive the underlying asset, and the seller is obligated to provide and deliver the underlying asset at the expiration date.
How does futures trading work?
Futures contracts allow traders to lock in the price of an underlying asset or commodity since they have predetermined expiration dates and set prices. When entering a trade, the trader does not need to provide the total amount of the contract’s value. Instead, the broker would require an initial margin amount.
StoneX: We open markets
Our market expertise, advanced platforms, global reach, culture of full transparency and commitment to our clients’ success all set us apart in the financial marketplace.
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Globality
With access to 36+ derivatives exchanges, 180+ foreign exchange markets, nearly every global securities marketplace and numerous bi-lateral liquidity venues, StoneX’s digital network and deep relationships can take clients anywhere they want to go.
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Expertise
From our proprietary Market Intelligence platform, to “boots on the ground” expertise from award-winning traders and professionals, we connect our clients directly to actionable insights they can use to make more informed decisions and achieve their goals in the global markets.
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Transparency
As a publicly traded company meeting the highest standards of regulatory compliance in the markets we serve; our financials and record of accomplishment are matters of public record. StoneX’s commitment to “doing the right thing over the easy thing” sets us apart in the industry and helps us build respect, client trust and new partnerships.
If you're an existing customer, please direct any inquiries to your StoneX sales team.
The trading of commodities and derivatives such as futures, options, and swaps involves substantial risk of loss and may not be suitable for all investors. Advisory services as well as the trading of futures and options is available through various subsidiaries of StoneX Group Inc. including but not limited to the FCM Division of StoneX Financial Inc. Public Disclosures for the FCM Division of StoneX Financial Inc. The trading of over-the-counter products or swaps is available through subsidiary StoneX Markets LLC to individuals or firms who qualify under CFTC rules as an eligible contract participant. Please click here for the full disclaimer.
StoneX Financial Pte. Ltd. ("SFP") (Co. Reg. No 201130598R) is regulated by Monetary Authority of Singapore and holds a Capital Markets Services Licence (CMS100476) for Dealing in Securities, Collective Investment Schemes, Exchange-Traded Derivatives Contracts, Over-the-Counter Derivatives Contracts, and Spot Foreign Exchange Contracts for the Purposes of Leveraged Foreign Exchange Trading, is an Exempt Financial Advisor under the Financial Advisors Act 2001, and is a Major Payments Institution (PS20200625) under the Payment Services Act 2019 for Cross Border Money Transfers.
StoneX Financial (HK) Limited ("SHK") (CE No.: BCQ152) is regulated by the Hong Kong Securities and Futures Commission for Dealing in Securities and Dealing in Futures Contracts.
SFP acts as an appointed agent for SFL's payment services business.