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Futures Contract
A financial contract obligating the buyer to purchase, and the seller to sell, a particular asset at a predetermined future date and price.
Hedger
An individual or entity that enters into a financial contract to mitigate the risk of adverse price movements in an asset.
Swap Contract
A financial agreement where two parties exchange liabilities or cash flows from two different financial instruments for a set period.
Forward Contracts
Customized contracts between two parties to buy or sell an asset at a specified price on a future date.
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