Ever worried about rising gas prices?

Price of oil

Ever worried about rising gas prices?

Imagine you're planning a cross-country road trip and gas prices are unpredictable.

A forward contract lets you lock in today's price for gas, so you don't have to worry about paying more later.

Example

You agree to buy gas at 3 per gallon next month, even though it's currently 2.50 per gallon.

Remember this

A forward contract protects you from future price hikes.

Text adapted from Wikipedia, licensed under CC BY-SA 4.0.

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Educational content, not financial advice.

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