Best Futures Brokers for September 2021



Longer market hours: Futures markets are open considerably longer hours than the stock market. For example, CME’s futures markets are open nearly 23 hours a day, six days a week.

Tons of available assets: Want to invest in the price of oil? Orange juice? Bitcoin? Coffee? Euros? Want to predict the direction of interest rates? Those are just a few of the assets you can find futures contracts on.

Lots of leverage: Margin is a standard component of futures trading, to a much greater extent than the stock market. This can be a good or bad thing, but it does let you control a relatively large contract value with a small capital outlay.

No time decay: In options trading, options contracts generally lose some of their value over time as they get closer to expiration, a phenomenon known as time decay. Because futures contracts represent the actual price of an asset, and not the right to buy an asset, there’s no time decay involved. (If you’re looking to trade options, here’s our list of the best options stock brokers.)


Risk: Futures trading is a completely different animal than stock or options trading and carries its own set of risks. It can be very easy to lose money with futures trading if you don’t know what you’re doing.

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World events: Events beyond investors’ control can influence futures prices and lead to huge losses in some cases. For example, in the early days of the COVID-19 pandemic, there simply wasn’t enough space to put all of the oil represented by futures contracts after demand collapsed. So, oil futures actually traded for negative prices at one point.

High leverage: As mentioned, the use of leverage can be a positive or negative. While high leverage gives you exposure to a high dollar value of assets, it can also make relatively small swings in asset prices turn into huge swings in futures traders’ accounts.

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