You are only as rich as the security tells you

The ownership of a security should be a priority of the first order. If there is any hesitation or ambiguity about who actually owns the security then you could be in for a long wait while the mess is being cleared up. Some people buy securities when they are not conversant with the procedures of what they can and cannot do with the security once it has been bought.

Ignorance is no defense here because no one will listen to you in any case. If in the cold light of day the security document says something different from what you are asserting, the authorities will be far more inclined to go with what is on the security.

Before investing your hard earned money into the derivatives market, you need to understand the different types of derivative contracts available to purchase and which one is best suited for you. Derivative contracts are broadly categorized into four distinct groups:

A)   Futures:

These are standardized contracts for buying or selling specified commodities at certain date in future at the market price. The prices are determined by the balance between supply and demand of the commodity at that time. Basically, the traders of futures are placed in two groups: hedgers and speculators. Hedgers include consumers and producers of the commodity or owners of the asset.