Comparison of forward and futures contracts.
|Private contract between two parties||Traded on an exchange|
|Not standardized||Standardized contract|
|Usually one speciﬁed delivery date||Range of delivery dates|
|Settled at end of contract||Settled daily|
|Delivery or ﬁnal cash settlement takes place||usually closed out prior to maturity|
|Some credit risk||Virtually no credit risk|