The high rates of returns, either positive or negative, on futures contracts are primarily due to the high initial margin requirement.

Name: The high rates of returns, either positive or negative, on futures contracts are primarily due to the high initial margin requirement.
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The high rates of returns on futures contracts are primarily due to the leverage that futures trading allows, not the high initial margin requirement. Leverage amplifies both gains and losses relative to the initial investment.

The High Rates of Returns, Either Positive or Negative, on Futures