Invest in Futures

Access 200+ futures from 23 global exchanges, covering equity indices, energy, metals, agriculture, rates and FX.

  • Prices as low as €2,90 per lot
  • Free futures trading support from Hugo

Hugo and Futures

Some investors, who have not yet met Hugo, feel that futures are a complicated financial instrument. We admit that is not the first thing you should start with when you are beginning to invest. But if you truly understand the possibilities, you will see that futures are safe and, if used correctly, will give you optimal benefit.

We offer a wide range of futures, from indexes to commodities and everything in between.

Hugo is all about sharing knowledge, so of course you can count on us to explain everything there is to know about futures. This knowledge will allow you to use this instrument for your own portfolio.

Why trade Futures with Hugo?

Competitive pricing

Trade futures from 1.25 USD, 1 EUR or 1 GBP per lot.

Advanced futures tools

Take advantage of time and sales, futures spread orders and depth trader — plus, trade directly from charts.

Expert service

You can count on the service from our team of experienced traders to answer all your questions about trading.

Hugo Investment Academy

Broaden your knowledge with our webinars, seminars, vlogs, blogs and podcasts.

Risk warning Futures

Danish banks are required to categorise investment products offered to retail clients depending on the product’s complexity and risk as: green, yellow or red. For further information click here. A future is categorised as a red product as it is considered an investment product with a high complexity and a high risk.

Spanish risk category

In Spain investment products offered to retail clients are categorised using the levels 1 to 6, depending on the product’s complexity and risk. For further information click here. A future is categorised as level 6 from 6, an investment product with high complexity and a high risk.

Safe Trading account

Saxo Bank is a member of the Danish Guarantee Fund. In the event that a Danish bank should suspend its payments or go into bankruptcy, client deposits are guaranteed by the Fund with up to EUR 100,000 for cash deposits. Cash deposits are calculated as the net free deposit after deduction of any debt to the bank.

Trade with advanced Futures tools

Futures spread trading
Deploy a multi-legged futures strategy by simultaneously placing orders to buy and sell from the same order ticket.

Depth trader
Place and manage orders based on the Level 2 order book, which provides a live display of all bids and offers waiting to be executed.

Time and Sales
Monitor exchange activity and trade directly from the ‘tape’, which shows futures prices in real time.

What are Futures?

A future is an agreement to trade an underlying value in the future at a price agreed in the present. The underlying value is usually an index, commodity or currency. Due to the leverage effects of futures you can achieve high returns, but you can also lose more than your original investment alone. Because of the high level of risk involved, futures are not suitable for inexperienced investors.

Futures, long and short

Futures are relatively simple. If you think the underlying value will rise, you buy a future. You then make a profit at each point of increase, and a loss at each drop point in the index. In the case of a sale (future short), you make a profit with a decrease and loss when there is an increase in the underlying value. How much profit or loss you make per point of increase or decrease depends on the contract size.

Why invest in futures

With futures, you can achieve high returns because of the leverage effect on a relatively small level of investment, but substantial negative returns are also possible. Futures are often used to hedge a position. For example, if you hold a large number of dollars, you can index with a future FED against a dollar drop in relation to the euro. The high risks and the generally high margin ensure that they are not suitable for beginner investors. Experienced investors must also be well informed of the operation and risks before investing in futures. For more information on features and risks, see the manual in the document centre.

Risks and margins

It is clear with the above calculation examples that you cannot only earn a lot with futures, but you can also certainly lose. In order to buy or sell a future, you must therefore reserve an amount – the initial margin – to meet any future obligations if your vision is not achieved. This margin obligation is deducted from the spending space of your investment account. Due to the high risks, this is a considerable amount for some contracts. For the FTSE, the initial margin for buying or selling one future contract is currently 2,500 pounds.

CALCULATION EXAMPLE

A future is the FTSE 100. This has the FTSE100 as its base and a contract size of 10 pounds per point. You buy one when the FTSE index stands at of 7500 points. The FTSE then rises to 7525, at which point you sell. You gain 25 points of increase with the FTSE: 10 x 25 means a gain of 250 pounds.

An example of a short is when the FTSE is at a 7525 points when you purchase. The FTSE then increases to 7550 at which point you decide to sell. Therefore the FTSE has increased 25 points, but with a future short you anticipated a decline: 10 x 25 means a loss of 250 pounds. So with futures it is possible to make high returns, but it is also possible to collect large losses.

Risk

The information on investment products is for general information and is not intended as advice. In spite of the fact that Hugo Investor takes care of the compilation and maintenance of these pages using sources deemed reliable, Hugo Investment cannot guarantee the accuracy, completeness and actuality of the information provided. If you use the information provided without verification or advice, do so at your own account and risk. We advise you to always check any transactions and not to invest in financial instruments that you do not understand the risks. No rights can be derived from the information on these pages. 

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