So, how much does it cost to trade first-hand silver futures? This depends on many factors, including the price of silver, the margin ratio stipulated by the futures exchange and the possible transaction costs.
1. Silver price: The price of silver fluctuates every day due to many factors such as global economy, politics, supply and demand. Therefore, the amount needed to trade first-hand silver futures will also change with the change of silver price. In order to determine the exact quantity needed to trade primary silver futures, it is necessary to refer to the real-time silver price.
2. Margin ratio: Futures exchanges usually set a minimum margin ratio to ensure that traders have sufficient performance ability. The margin ratio set by different futures exchanges may be different, usually between 5%- 15%. Take the margin ratio of 10% as an example. If the current price of silver is $20/oz, then the margin of primary silver futures is $20/oz *5000 oz * 10%= 10000 USD.
It should be noted that in the actual trading process, the futures company may add a certain margin as a risk buffer on the basis of the minimum margin ratio stipulated by the exchange, so the actual margin required may be higher than the minimum standard stipulated by the exchange.
3. Transaction costs: In futures trading, traders also need to pay certain transaction costs, including handling fees and exchange fees. These fees are usually not very high, but they will directly affect the transaction costs. The specific charging standards vary from region to region and futures companies, and specific futures companies need to be consulted.
To sum up, the amount needed to trade first-hand silver futures is affected by silver price, margin ratio and transaction cost. In order to determine the exact quantity needed to trade the first-hand silver futures, it is suggested to refer to the real-time silver price, the margin ratio of the futures exchange and the charging standard of the futures company for calculation.