Are Futures Right for Me?
Futures trading offers exciting opportunities for investment and risk management to a wide variety of participants. At ECG Futures, we would like to help you determine if futures trading is right for you. Contact us to schedule a consultation with an experienced market specialist.
Before getting into more details, consider the check list below to see if futures trading may be right for you.
• I am looking to diversify my investment portfolio.
• I would like to effectively risk manage my business and/or my investments by hedging existing expose to adverse fluctuations in values of commodities, stock indices, foreign currencies and interest rates.
• I want to invest directly in the markets I have an opinion about.
• I want an investment that offers profits potential in bull and bear markets alike.
• I prefer a more aggressive investment approach as oppose to buy-and-hold strategy.
If you answered yes to any of the criteria above, futures trading is may be just what you look for. However, if you respond negatively to the additional check list criteria below, we suggest that investing in futures trading is not for you.
• I’m willing to learn about what I’m investing in.
• I have some extra money to invest, and if I lost it, my lifestyle wouldn’t be significantly affected.
Capital Requirements
The funds you allocate for futures trading should be risk-capital only - separate from savings set aside for collage, retirement and emergency. In other word, ask yourself if you can afford to lose the funds you expose to risk in your futures account.
Confirm that you’ll be able to meet margin requirements you may encounter under various market conditions. We recommend that you capitalize your account with adequate funds, so you risk only a small portion on any one trade.
Know the Risks
Futures are not suitable for everyone. You should fully understand all the risks involved, including the effect of leverage. Leverage can magnify both gains and losses, thus enhancing the risk expose. Some of the risk factors present in futures trading are discussed in the Risk Disclosure section of our website. Please read it carefully.
Before getting into more details, consider the check list below to see if futures trading may be right for you.
• I am looking to diversify my investment portfolio.
• I would like to effectively risk manage my business and/or my investments by hedging existing expose to adverse fluctuations in values of commodities, stock indices, foreign currencies and interest rates.
• I want to invest directly in the markets I have an opinion about.
• I want an investment that offers profits potential in bull and bear markets alike.
• I prefer a more aggressive investment approach as oppose to buy-and-hold strategy.
If you answered yes to any of the criteria above, futures trading is may be just what you look for. However, if you respond negatively to the additional check list criteria below, we suggest that investing in futures trading is not for you.
• I’m willing to learn about what I’m investing in.
• I have some extra money to invest, and if I lost it, my lifestyle wouldn’t be significantly affected.
Capital Requirements
The funds you allocate for futures trading should be risk-capital only - separate from savings set aside for collage, retirement and emergency. In other word, ask yourself if you can afford to lose the funds you expose to risk in your futures account.
Confirm that you’ll be able to meet margin requirements you may encounter under various market conditions. We recommend that you capitalize your account with adequate funds, so you risk only a small portion on any one trade.
Know the Risks
Futures are not suitable for everyone. You should fully understand all the risks involved, including the effect of leverage. Leverage can magnify both gains and losses, thus enhancing the risk expose. Some of the risk factors present in futures trading are discussed in the Risk Disclosure section of our website. Please read it carefully.
ECG Futures is a registered ‘dba’ of Essence Capital Group, Inc
Registered Independent Introducing Broker | Registered CFTC | NFA Member | Since 2007
Past performance is not necessarily indicative of future results. Trading commodity futures and options involves substantial risk of loss and is not suitable for all investors.
Please read our Risk Disclosure, Privacy Policy, Legal Notice and Cookies Policy.