Start with the basis
The basis is the difference between a futures price and the spot price of the related asset. A paired strategy may seek to benefit from changes in that difference, rather than from the direction of one price alone.
A visible gap is not a promised return. Financing, spreads, fees, contract expiry, margin and execution can change the result.
Build a complete trade assessment
Compare the contracts
Check the underlying asset, currency, contract size and expiry so the prices are comparable.
Include every cost
Assess commission, spread, carrying costs, margin needs and possible slippage.
Plan both positions
Define how to enter, monitor and close both legs, including partial fills and interruptions.
Before requesting access
| Topic | What to confirm |
|---|---|
| Eligibility | Account type, region and written strategy permission |
| Instruments | Approved spot and futures contracts |
| Execution | Liquidity, order handling and review requirements |
| Support | Escalation route for a mismatch or failed leg |
Risk does not disappear with two positions
The legs can move differently, liquidity can change and one order can fill before the other. Review basis risk, margin calls and the possibility of loss before considering the strategy. Account-specific approval is required.