Finance School of management Characteristics of Futures Futures are standard contracts immune from the credit worthiness of buyer and seller because exchange stands between traders contracts marked to market dail margin requirements(enough collateral uesTc5 Finance School of Management Characteristics of Futures ❖ Futures are: – standard contracts – immune from the credit worthiness of buyer and seller because ▪ exchange stands between traders ▪ contracts marked to market daily ▪ margin requirements (enough collateral)