The 'why' behind the headlines

CNBC Explains

Hedging Futures Contracts: CNBC Explains

CNBC Explains
WATCH LIVE

Do margin contracts really defend market participants from commodity price volatility? Salman Khan of the verifies the math. Then he explains how these contracts work in practice.

From this video, you’ll understand:

  • The mechanics of futures margins
  • How the value of futures contracts are preserved using margins



Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.