Report post

What are FTSE 100 futures?

FTSE 100 futures contracts are based on a capitalisation-weighted index of the 100 largest companies listed on the London Stock Exchange. Top constituents include AstraZeneca, Unilever, HSBC and Diageo. FTSE 100 futures are cash settled upon expiration, as there is no physical asset to exchange.

How do I trade FTSE 250 futures?

Open an account or practise trading first in a demo account. FTSE 250 futures are based on the capitalisation-weighted index of the 250 largest companies on the LSE, after the top 100 listed on the FTSE 100. The shares listed on the FTSE 250 are classed as mid-cap stocks.

What if the FTSE 100 fell to 6500?

As futures are leveraged, you wouldn’t need this full amount, but rather a deposit – known as margin – to open the position. If the price of the FTSE 100 did increase, up to 7500, the contract would now be worth £75,000 and you would’ve made £5,000 profit. But if the index fell to 6500, you’d have lost £5,000.

Are FTSE MIB futures cash settled?

As with other FTSE futures, MIB futures are cash settled as there is no underlying asset to exchange. FTSE MIB futures are priced using a multiplier of €5 per index point. So, if the FTSE MIB was trading at 25,000, a futures contract on the index would be worth €100,000.

Related articles

The World's Leading Crypto Trading Platform

Get my welcome gifts