Who Benefits from the Transfer of Risk? On a broader scales,the consumer or end user benefits as well
Who Benefits from the Transfer of Risk? ◼ On a broader scales, the consumer or end user benefits as well
Market Participants Four broad categories of market participants in futures trading: ■Producer ■End User ■Speculator Floor Trader or Pit Broker
Market Participants ◼ Four broad categories of market participants in futures trading: ◼ Producer ◼ End User ◼ Speculator ◼ Floor Trader or Pit Broker
Producer These goods can be anything from grain to livestock to Swiss francs to silver.The producer may be a seller of goods as well as a buyer
Producer ◼ These goods can be anything from grain to livestock to Swiss francs to silver. The producer may be a seller of goods as well as a buyer
End User This group often consists of manufacturers or large users of raw products
End User ◼ This group often consists of manufacturers or large users of raw products
Speculator The speculator can be either a buyer or a seller, depending on his or her analysis of and orientation to the markets.The speculator is often willing to take a position contrary to the current market trend in the hope of making a profit
Speculator ◼ The speculator can be either a buyer or a seller, depending on his or her analysis of and orientation to the markets. The speculator is often willing to take a position contrary to the current market trend in the hope of making a profit