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What commodity is a commodity?
Commodities include energy commodities, basic raw materials, agricultural and sideline products, etc. Commodity refers to the material commodity that can enter the circulation field rather than the retail link, has the commodity attribute and is used for industrial and agricultural production and consumption. At present, bulk commodities are mainly traded through futures platforms.

Futures is a trading method that spans time. By signing the contract, the buyer and the seller agree to deliver the specified quantity of spot at the specified time, price and other trading conditions.

Futures are concentrated in futures exchanges and traded through standardized contracts. Some futures contracts can be traded through over-the-counter trading, which is called over-the-counter contract. According to the types of subject matter, futures can be divided into commodity futures and financial futures.

Investment rules

1. Strong funds and good reputation.

2. The communication tools are fast and advanced, and the service quality is good.

3. Be able to provide customers with various detailed market information on their own initiative.

4. Proactively introduce favorable trading opportunities to customers, have online guidance from a certain team of experts, and have a good business image and background.

The risk reserve system has the following provisions:

1. The Exchange shall withdraw the management fee according to the proportion of 20% of the fee income (including preferential reduction and exemption for members) collected from members. When the risk reserve reaches 10 times of the registered capital of the exchange, it may not be withdrawn.

2. The risk reserve must be accounted for separately and stored in a special account, and shall not be used for other purposes except for making up the risk loss. The use of risk reserve must be approved by the board of directors of the exchange, reported to the China Securities Regulatory Commission for the record, and carried out in accordance with the prescribed purposes and procedures.

Information disclosure system

Information disclosure system, also known as publicity system and public disclosure system, refers to a system that in order to protect the interests of investors and accept the supervision of the public, it is necessary to report its own financial changes and operating conditions to the regulatory authorities and exchanges according to law, and make it public or to the public so that investors can fully understand the situation.

It includes both the disclosure before issuance and the continuous information disclosure after listing. It mainly consists of prospectus system, periodic report system and interim report system.

Strong peace and explosion risk

Exchanges and futures brokerage companies have to settle accounts every trading day. When the investor's margin is insufficient and below the specified proportion, the futures company will forcibly close the position. Sometimes, if the market is extreme, there will even be short positions, that is, all the funds in the account are lost, and even the futures company needs to pay the part whose losses exceed the account margin.