Selling a future creates the obligation to borrow money and the obligation to pay interest
Buying a future creates the obligation to deposit money and the right to receive interest.
Sir can you kindly explain this two line and also why one line mention obligation and the other line mentions right. Thank you inadvance
Ask the Tutor ACCA FM
regarding intrest futures
4y ago#1No, I will not explain because they are not true!
Futures are explained in my free lectures.
Sir I have copy paste this line from acca technical article from their website. and I have gone through all the lectures .:)
4y ago#3The article is not written by one of the examining team and in terms of the use that financial managers make of interest rate futures those two lines are simply not true and are irrelevant for the exam. The rest of the article is OK.
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