When can 1 cent equal $10?

Mini-sized futures contracts aren't new. In fact they date back to the 1880's when the Open Board of Trade offered 1,000 bushel grain futures against the Chicago Board of Trade's 5,000 bushel contracts. Today, U.S. futures exchanges offer more than 20 different mini contracts, including silver and gold. Receive our special report which covers the features, benefits and risks of mini contracts.

So when can 1 cent equal $10? The contract size of the mini-silver contracts is 1,000 ounces. If the price of the futures contract changed by one cent (say, from $35.75/oz. to $35.76/oz. or $35.74/oz.), the value of the position would change by $10.00 per contract.

Trading mini-contracts is still speculative in nature and carries the same substantial risk of loss that comes from trading regular-sized contracts. Trading mini-futures contracts is not suitable for all investors.