Futures

Trade currencies, oil, gold and energies online

Online Futures trading with Saxo Bank opens up the world’s major markets, from Chicago to Singapore, at low commission rates. Through leading online platforms investors can access a huge range of products – from oil and metals to currencies, bonds, agriculturals and indices – across the global Futures markets, including CMEGroup, Eurex and Euronext.

Futures enable investors to either speculate in, or hedge against, price movements of the underlying asset.

Volatility Index (VIX) Futures

Saxo Bank now offer trading in one of the world’s most important volatility references – the VIX Index. The VIX Index is traded on the Chicago Board Options Exchange (CBOE) and is based on the implied volatility of S&P 500 Index Options, and reflects the consensus view of the expected 30-day stock market volatility.

To expand the offering of volatility instruments, Saxo Bank has launched VSTOXX Mini Futures Contract on 16th November. The VSTOXX index gives the level of implied volatility anticipated by the market and implied by the prices of the corresponding options on EURO STOXX 50 Index Options.

Brazilian Futures

Saxo Bank has just launched four Brazilian Futures, BOVESPA Index, IBOVESPA Index Mini, BMF US Dollar Future and Mini BMF US Dollar, available for trading to non-Brazilian residents. Investors now have a unique opportunity to get an exposure to one of the most buoyant economies at this time and even hedge currency risks in their portfolios.

More on Futures trading

A Future is a contractual agreement to buy or sell a particular commodity or financial instrument at a pre-determined price on a specific date in the future.
Futures contracts can derive from a variety of assets, from traditional commodities like corn, wheat, and orange juice to different asset classes, like government bonds, interest rates, energies and stock indices. Futures contracts detail the quality and the quantity of the underlying asset; they are standardised to facilitate trading on a Futures exchange.

Futures are highly liquid financial instruments, meaning individuals can trade on tight spreads. The transaction costs for them are low, and their pricing is transparent due to the level of specificity found in futures contracts and the regulations imposed by the various exchanges. There is no physical delivery with Saxo Bank.

Volume-based commissions

Online futures are traded on volume-based commissions, where the more traded the less cost incurred. For large monthly trading volumes, the price can drop to as little as USD 0.30 per contract.