Why should a trader need the futures/call/put?

[Murugan Thanikachalam]

Trader needs Futures as it requires low investment and additional conditions can be added to the contract.

[Raja Prabha kumaresan]

In spot market, trader need more capital to much more stocks but in futures/call/put deal can be made with less capital and also risk rate is less when compared to spot market. Profit can be realised in day to day basis. Short position can be created in futures/call/put.

[Ramanathan Chidambaram]

Future/call/put – derivative market instruments.

In equity market, there is no way to execute “short position” and more over high capital is required in case of SPOT/Cash/equity market.

[Sakunthala]

Traders need future/call/put which is derivative instrument to maximize profit and cover the loss.

In futures capital is less whereas in equity capital is more. Risk is less in future when compared to Equity or spot market.

[Swaminathan]

Using these instruments one can sell and buy back after a period of time. Without these instruments any share sold at the start of the trade has to be bought back on the same day.

These instruments can be used to maximize the profits with less capital investment.

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