Single Stock Futures

Single Stock Futures (SSF) are a revolutionary product that offers a range of investment opportunities to both institutional and retail investors in the U.S. In late 2000, the U.S. Congress passed legislation lifting the ban on these products, which were already trading in Europe and elsewhere. ChicagoOne, a new, fully electronic, federally regulated exchange was formed to trade these products. OneChicago is a joint venture of the Chicago Board Options Exchange, Chicago Mercantile Exchange, and the Chicago Board of Trade. Single Stock Futures represent one of the most interesting developments in the field of financial derivatives and make a very flexible supplement to your portfolio.

A single stock futures contract is simply an agreement to buy or sell 100 shares of stock such as Microsoft, IBM, Intel, or GE, at a point in the future. Single stock futures contracts are completed via offset or the delivery of actual shares at expiration.

You'll find that you can efficiently execute a variety of trading strategies using single stock futures, such as trading the spread between two stocks, removing a stock from an index you own, shorting a stock, or hedging yourself against downside movements in your portfolio. SSFs also require only 20% margin.

Benefits of Single Stock Futures

Trade futures on more than 100 stocks
Easier and less costly to short (no uptick rule or interest charges)
Security futures require only 20% margin
All-electronic (instant fills, no open-outcry)
Cleaner hedge relative to options
Potential tax benefits
Electronic trading platform

Trading Strategies

Buy or short a stock: Shorting futures is just as easy as going long. Single stock futures require just 20% margin so the effect of any upward or downward price move is magnified.
Diversify into more stocks: With less money tied up for margin when trading single stock futures, you’ll have more funds available for diversification.
Protect Your Stock Portfolio: Hedge your stock portfolio against adverse market moves by selling single stock futures contracts rather than selling your equities.
Trade Spreads between Stocks: Capitalize on changing relationships between stocks or indices. For example if you think Nokia will outperform Nextel, then buy Nokia futures, and sell Nextel futures.

Security futures are not suitable for all customers. Before trading security futures products, you should contact us at 800-263-3004 to obtain a copy of the required security futures risk disclosure statement or just click the link below. There is a substantial risk of loss in trading futures and options.


	Single Stock Futures Introducing Single Stock Futures Single Stock Futures (SSF) are a revolutionary product that offers a range of investment opportunities to both institutional and retail investors in the U.S. In late 2000, the U.S. Congress passed legislation lifting the ban on these products, which were already trading in Europe and elsewhere. ChicagoOne, a new, fully electronic, federally regulated exchange was formed to trade these products. OneChicago is a joint venture of the Chicago Board Options Exchange, Chicago Mercantile Exchange, and the Chicago Board of Trade. Single Stock Futures represent one of the most interesting developments in the field of financial derivatives and make a very flexible supplement to your portfolio. A single stock futures contract is simply an agreement to buy or sell 100 shares of stock such as Microsoft, IBM, Intel, or GE, at a point in the future. Single stock futures contracts are completed via offset or the delivery of actual shares at expiration. You'll find that you can efficiently execute a variety of trading strategies using single stock futures, such as trading the spread between two stocks, removing a stock from an index you own, shorting a stock, or hedging yourself against downside movements in your portfolio. SSFs also require only 20% margin. Single Stock Futures Listing Narrow Based Indices Benefits of Single Stock Futures Trade futures on more than 100 stocks Easier and less costly to short (no uptick rule or interest charges) Security futures require only 20% margin All-electronic (instant fills, no open-outcry) Cleaner hedge relative to options Potential tax benefits Electronic trading platform Trading Strategies Buy or short a stock: Shorting futures is just as easy as going long. Single stock futures require just 20% margin so the effect of any upward or downward price move is magnified. Diversify into more stocks: With less money tied up for margin when trading single stock futures, you’ll have more funds available for diversification. Protect Your Stock Portfolio: Hedge your stock portfolio against adverse market moves by selling single stock futures contracts rather than selling your equities. Trade Spreads between Stocks: Capitalize on changing relationships between stocks or indices. For example if you think Nokia will outperform Nextel, then buy Nokia futures, and sell Nextel futures. Security futures are not suitable for all customers. Before trading security futures products, you should contact us at 800-263-3004 to obtain a copy of the required security futures risk disclosure statement or just click the link below. There is a substantial risk of loss in trading futures and options. Risk Disclosure Statement for Security Futures Contracts Back to top
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Heritage West Futures \| About Heritage West Futures \| Request Starter Kit \| Account Types Account Forms \| Open Account Online \| Contact Us Past performance is not indicative of future results. Futures and options trading involves substantial risk of loss and is not suitable for all investors. Copyright © 2008 Heritage West Futures, Inc. All rights reserved

Single Stock Futures

Introducing Single Stock Futures

Benefits of Single Stock Futures

Trading Strategies