I am an Indian working in Australia (Perth) wish to invest in stock market in futures can i invest in australi

Question

I want to invest in futures can any one tell me the procedure to get a trading account and as to how mmuch minimum i require to trade in futures.....

Answer 1

300-1000

Answer 2

Hi,

First you need to contact your broker, you can contact MF Global (Broker One) http://www.brokerone.com.au/ or MacQuarie Future http://personal.macquarie.com.au/persona... or there is some other future brokers in australia.

I would recommend to have initial fund around $10,000-$20,000, it should be sufficient to cover most margin requirement for your trading.

It sounds like this is your first time trading future, I would recommend you to go to http://www.asx.com.au/products/futures_o... and understand the margin requirement, contract size and point value for the future contracts, then you can work out how much money you need to trade.

The reason I recommend $10-$20K is so you can do you money management by investing/risking small percentage of your fund, and give you enough margin movement as well.

quite a lot of people start trading future with not enough fund on their account and if the instrument is volatile, there could be quite a fair bit of swing on margin requirement and if you don't have enough fund your broker can close out your position due to margin and you don't really want to do that.

May be you can start with grain or T-Bond where the margin requirement is reasonable, I would stay away oil if you have a small fund since their margin is quite high.

Hope it helps and good luck.

Cheers