Future contracts have some particular properties that make them a special assets class. In this article, we will learn about these statistical properties by visualizing them in R.
Futures Prices have High Volatility and Distribution with Leptokurtic Shape
First of all future contracts are well known for their higher volatility. The price distribution of future prices widely differs from a normal distribution, as it has a considerable number of extreme points that moves the prices beyond the limits of a normal distribution.
