When there isn't an active market for the forward contract. Generally, Futures contracts have a much more active open market than forward contracts and have alot more choice in terms of expiration months than forward contracts.

1) forward contract is not standardised one..it is only traded in OTC(over the counter)

where as future contract is a standardised one it is traded in Secondary Market

A contract to deliver a particular commodity to a buyer sometime in the future.

An equity roll forward allows an investor to maintain the investment position of a contract beyond its initial expiration. This occurs shortly after the initial contract ends.

An equity roll forward allows an investor to maintain the investment position of a contract beyond its initial expiration. This occurs shortly after the initial contract ends.

A forward contract is legally binding promise to perform some actions in the future . Forward commitments include forward contracts , future contracts and swaps

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A customized contract between two parties to buy or sell an asset at a specified price on a future date. A forward contract can be used for hedging or speculation, although its non-standardized nature makes it particularly apt for hedging.

The price that the buyer and seller agree on.

In a forward contract, you are setting the price now for something you'll buy later. A cash transaction involves setting the price for something you're buying today.

if is done in national stock exchange it is legal

forward market hedging is the way of making profit by predicting contract in advance to buy and sell of goods in the future.

A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging

Forward contracts don't have premiums. They're not really much above handshake deals--"bring me your wheat crop at the end of the season, and I'll pay you $6.50 per bushel for it."

Different price of futures and forward which are identical (similar underlying assets) is because of the daily settlement on the futures contract. the price for both contract will be the same before the daily settlement.

Futures are traded in Organized Exchanges while Forwards are Over-The-Counter (OTC) traded

Forward contracts aren't regulated because they are impossible to regulate. They are all different and they're customized to the needs of the counterparties.

A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging

Transaction in future date by forward contract(future delivery) to purchase/sell foreign exchange at prevailing rate.

A forward contract is a private and customizable contract that needs to be settled at the end of the agreement and is traded over the counter.

A futures contract has standardized terms and is traded on an stock or commodity exchange, where prices are settled on a daily basis until the end of the contract.

A forward contract is an agreement between two parties to buy or sell an asset at a future date for a set price. This allows them to lock in a price now, reducing the risk of price fluctuations. The contract is binding, meaning both parties must fulfill their obligations on the agreed-upon date.

it is better to go for forward contract

A spot contract, spot transaction, or simply spot, is a contract of buying or selling a commodity, security or currency for settlement (payment and delivery) on the spot date, which is normally two business days after the trade date. A spot contract is in contrast with a forward contract or futures contract where contract terms are agreed now but delivery and payment will occur at a future date.

Forward is a contract of underlying assets including time period,rate and other logical conditions between buyer and seller for future periods.Here one party gains other party losses.The gain of one party is the loss of other party.Reversely,the loss of one party is the gain of other party.Here we see that net domestic income is zero. For this reason, forward contract is called zero sum contract.

Forward market allows the dealers to concentrate on their core line of business because they don't bother themselves with the risk of currency exchange.

There is no premium paid upfront on forward contract as compared to futures and options.

false

No, that would never happen. Don't bother forwarding chain mail.

yes

There are several different versions of the social contract theory. The most prevalent are those put forward by John Locke, Thomas Hobbes, and Jean-Jacques Rousseau.

In freely traded (not restricted) currency pairs, Covered Interest Parity absolutely drives the forward price. This is through arbitrage

In restricted currencies it may or may not drive the forward price as it is not readily arbitragable.

Peristalsis. Organs contract behind the food and loosen in front of it, pushing it forward through the alimentary canal.

The abbreviation FC in banking can stand for several things. It stands for Fitness Certificate, Foreign Currency, and Forward Contract.

No Pat Sajak and Vanna White will be back to start the new season in September 2011 and are already under contract until 2014. Sony Pictures said when they announced the signing of the contract until 2014 that they were very happy with them and looked forward to the next contract with them.

When walking, your leg muscles contract and relax in a coordinated sequence to move your legs forward. The quadriceps at the front of your thigh extend your knee, while your hamstrings at the back of your thigh flex your knee and extend your hip. This movement propels your body forward with each step.

Forwards Contract:

A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging

Futures Contract:

A futures contract is an agreement to buy or sell an asset at a certain time in the future at a specific price. The Contractual terms of the futures contracts are very clear. The Futures market was designed to solve the shortcomings in the forwards contracts. Unlike forwards, futures are traded in organized exchanges. They also use a clearing house that provides the necessary protection to both the buyer and the seller. The price of the futures contract can change prior to delivery. Hence, both participants must settle daily price changes as per the contract values.

Difference:

Futures are traded in Organized Exchanges while Forwards are Over-The-Counter (OTC) traded

Forwards Contract:

A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging

Futures Contract:

A futures contract is an agreement to buy or sell an asset at a certain time in the future at a specific price. The Contractual terms of the futures contracts are very clear. The Futures market was designed to solve the shortcomings in the forwards contracts. Unlike forwards, futures are traded in organized exchanges. They also use a clearing house that provides the necessary protection to both the buyer and the seller. The price of the futures contract can change prior to delivery. Hence, both participants must settle daily price changes as per the contract values.

Difference:

Futures are traded in Organized Exchanges while Forwards are Over-The-Counter (OTC) traded

A spot delivery contract really isn't much of a contract. You're a baker who needs sugar--you buy futures contracts but you've been hit with a huge order for cookies and you don't have enough sugar on hand to deal with the problem. Normally you'll have a line of credit established with a sugar company for just such occurrences. To make a spot contract, you call the sugar company and ask them to bring you a truckload of sugar. It shows up, you get the bill at the end of the month, all is well. That's a spot contract.

A forward delivery contract is for the sugar farmer. You have 500 acres of sugar beets. You have no idea of the exact tonnage of beets you are going to harvest or the exact date the harvest will be. To help manage your risk, you make a contract with a sugar refinery to sell them your whole crop when it is harvested for a specified price per ton.

CBS does not stream games online due to the licensing rights set forward in their contract with the NFL.

A forward contract is an agreement between two parties to buy or sell an asset at a certain future time for a certain price agreed today. An option is an agreement between two parties for the option to buy or sell an asset at a certain future time for a certain price agreed today. The main difference is that a forward contract has to happen while an option may or may not happen depending on the value of the asset compared to the agreed price

There are 3 different types of forward pricing: (1) Forward contracts (which include cash forward contracts, minimum price forward contracts and deferred pricing contracts) (2) Futures Contracts and (3) Option Contracts.

A forward contract is an agreement between two parties to buy or sell an asset at an agreed future point in time. The trade date and delivery date are separated.

A futures contract is a standardized forward contract that is traded on an exchange, like SAFEX.

Other than forward contracts, futures contracts are not linked with specific buyers. The intermediary between buyers and sellers is a clearing house that ensures that contracts held for delivery are fulfilled.

Options contract convey the right, but not the obligation, to buy (call option) or sell (put option) at a specified price during a specified period of time. The good traded in the market is not the actual commodity, but a futures contract. The farmer will receive a futures contract, which will carry an obligation to buy or sell at some specific future date, if he/she chooses to exercise the option.

A futures (not future) contract obligates the seller to produce a certain amount and quality of a certain commodity on a certain date, for which he will be paid a certain price. Such as, 5000 bushels of hard red wheat on July 7 for $7 per bushel.

A forward contract is similar but can be customized--such as "my entire crop of hard red wheat, upon harvest, for $6.80 per bushel." A true futures contract wouldn't work for a farmer for obvious reasons--on July 7 the wheat might have too much moisture in it so it can't be harvested yet, or the crop could be larger or smaller than predicted.

The forward premium arises due to interest differentials between two currencies. In order that the two currencies have the same intrinsic values as they have today and avoid interest arbitrage, the premium/discount comes into effect.The forward rate includes the forwrd premium/discount and so the risk of spot market moving in the wrong way is minimised by entering into a forward contract.

Forwards Contract:

A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging

Futures Contract:

A futures contract is an agreement to buy or sell an asset at a certain time in the future at a specific price. The Contractual terms of the futures contracts are very clear. The Futures market was designed to solve the shortcomings in the forwards contracts. Unlike forwards, futures are traded in organized exchanges. They also use a clearing house that provides the necessary protection to both the buyer and the seller. The price of the futures contract can change prior to delivery. Hence, both participants must settle daily price changes as per the contract values.

Difference:

Futures are traded in Organized Exchanges while Forwards are Over-The-Counter (OTC) traded

Because a caterpillar moves in a rippling fashion. It contracts the muscles in its rear segments, pushing blood into the forward segments, which lengthens the front part of the body. The legs hold onto the forward position and then the front muscles contract, pulling the rear segment forward.

A Repurchase agreement (also known as a repo or Sale and Repurchase Agreement) allows a borrower to use a financial security as collateral for a cash loan at a fixed rate of interest. In a repo, the borrower agrees to sell immediately a security to a lender and also agrees to buy the same security from the lender at a fixed price at some later date. A repo is equivalent to a cash transaction combined with a forward contract. The cash transaction results in transfer of money to the borrower in exchange for legal transfer of the security to the lender, while the forward contract ensures repayment of the loan to the lender and return of the collateral of the borrower. The difference between the forward price and the spot price is the interest on the loan while the settlement date of the forward contract is the maturity date of the loan.

Forward contracts are like futures: they obligate the buyer and seller to complete the transaction for a stated price. They're unlike futures: whereas a futures contract gives a specific description of what and how much product is being traded and when it's to be traded, a forward contract can be written any way you want.

So...forward contracts are used when you're dealing with unknowns. Farmers use them to sell "their whole crop upon harvest" because they don't want to sell "10,000 bushels of wheat on September 9" when it might be 9,000 or 11,000 bushels, or it might come in on August 31 or September 14.

An example of muscular energy is when you use your leg muscles to pedal a bicycle. The muscles contract and generate energy to move the pedals and propel the bike forward.

Winnipeg Jets forward Rick Rypien was found dead in his home on August 15, 2011. However, Rypien was not traded. His contract with the Canucks ended after the 2010-11 season and he signed a one-year contract with the Jets in July.

If the contract buyers use the underlying product, they use forward and futures contracts to eliminate market risk.

Say you are a manufacturer of breakfast cereal who will use 500,000 bushels of corn this year. If you buy corn only on the spot market, you have two worries: what the price will be when you need it, and whether there will be that much corn on the market this year. But by purchasing futures contracts you know what it will cost and when it will arrive.

If you're a farmer you'll use a forward contract to set the sale price of your corn, usually before you turn the key on your tractor to plant the new crop.

Contract to sell is an executory contract while contract of sale is an executed contract.