A futures contract is similar to a forward contract.

Name: A futures contract is similar to a forward contract.
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A futures contract is a type of derivative instrument that is standardized and traded on an exchange, while a forward contract is a customized agreement between two parties. Both involve an agreement to buy or sell an asset at a future date, but futures contracts have more liquidity, transparency, and standardization compared to forward contracts.

A Futures Contract Is Similar to a Forward Contract