Trade in Futures and Options

Open Futures & Options Trading Account

A futures and options trading account is a type of trading account that allows you to trade in the equity derivatives market. The derivatives market is a special stock market segment where you can trade contracts instead of stocks. These are called F&O contracts, or futures and options contracts.

The account is specifically for trading in futures and options contracts. While you are opening an investment account, they will use the amount only for futures and options trading, not for investing directly in stocks or other assets. This type of account is opened with a broker. As with regular stock accounts, there are two types: full-service and discount brokers. The choice depends on how much support your broker needs versus how much control over the assets you want to retain (and at what cost). The stock brokerage fee also varies depending on which broker you choose to open this type of account with.