What does Single Stock Future mean?
A Single Stock Future (SSF) is a futures contract with an underlying of only one particular stock. It is a type of futures contract entered into by two parties to exchange a specified number of stocks in a company for a price agreed today with delivery occurring at a specified future date.
Futures Knowledge Explains Single Stock Future
A single stock future gives the investor increased capabilities to leverage themselves within the market. These products can be traded on margin on futures exchange. In such cases, the buyer hopes or expects that the stock price is going to increase, while the seller hopes or expects that it will decrease. SSFs are usually traded in lots or batches of 100.