Why Futures?

Futures have major tax benefits. The first 60% of gains are taxed as long-term capital gains or at 15%. Stocks and Forex do not enjoy this privelege. Furthermore, futures accounts do not need to meet a minimum requirement of capital to trade freely unlike stock accounts (stocks require $25K to day trade). There are no Pattern Day Trading limitations with futures. Also, there is no need to borrow stock in order to go short. Going short is just as easy as going long. Come tax time you only fill out one line for all your futures gains/losses as opposed to trade by trade 1099 for stocks and other capital gains. We’ve also chose to trade the two of the most liquid markets. This helps guarantee limited slippage, proper execution and liquidity when it is desired!

Here is a full blog post I’ve done explaining how futures work and some further detail into two of their benefits over stocks



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