Financial Markets Book Financial Markets For The Rest Of Us
An Easy Guide To Money, Bonds, Futures, Stocks, Options, And Mutual Funds
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by Robert Hashemian

Page 115

time you buy or sell futures contracts you also pay transaction fees. These fees include payments to your broker, her company, the futures exchange, etc., but these are mostly lumped together and charged as commission. Every brokerage and trading institution has its own commission structure, which you must take into account when you trade futures. And they do add up fast if you trade frequently. So keep a close eye on those commissions. Taxes will also greatly affect your returns as you trade during the year. Your profits and losses must be reported to the Internal Revenue Service (IRS) in the form of capital gains and capital losses and will be taxed at a different rate (normally lower) than your income tax rate (usually at 20%). A good tax advisor is definitely recommended.


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Copyright and Disclaimer
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  • Book Chapters
    Table of Contents Copyright and Disclaimer Foreword Money
    Bonds Futures Stocks Options
    Mutual Funds Retirement Final Words Appendix A
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