Check the settlement arrangement

Spot generally concerns near-term delivery or settlement, futures follow standard contract terms, and CFDs usually settle price differences. Product details still matter; a name alone does not confirm physical delivery.

Look for expiry and rollover

Futures have contract months and settlement or delivery procedures. Rolling price products may instead apply financing or adjustments. The absence of a familiar expiry date does not mean holding is cost-free.

Compare equivalent exposure

For a hypothetical exposure of 10,000, list margin, dealing costs, holding duration and exit conditions for each product. This separates capital committed from risk and is more informative than minimum deposits alone.

Draw the holding timeline

For each product, sketch entry, ongoing funding requirements and exit or expiry handling. If a step cannot be explained, return to the contract documents. A timeline can reveal different cash-flow obligations hidden behind similar market exposure or product names.

Source and reading notes

This is an independently written educational overview based on the ATFX reading linked below. Examples are illustrative, not live quotes or forecasts. It does not reproduce the original article or imply endorsement by its author.