Future markets and the development process in Turkey

The history of the futures lies on long years but in modern style, in organized stock markets, it is started to be used in 1800?s and had a rapid development. These markets follow the development process depending on the economical circumtances at the present time.This article I have prepared has three main sections. The first one includes the general meaning and the historical development process of the futures market. And the future agreements and option agreements that are operated on the markets are analysed and described. The forward agreements are also included in this section to make that agreement type and its landmark in the historical development comprehensible. The differences between these instruments are also mentioned in this section. The benefits, the reasons of use and the organizational structure of the futures markets are the other subjects of the first section.The general operating principles of İstanbul Gold Exchange Futures and Option Exchange, İstanbul Stock Exchange Futures Market, Future And Option Exchange are analyzed in the second section.In the section named ?Application? The Futures and Option Market is confronted with other stock markets in the world by elements like; the working times, agreement format and the clearing center.Futures market is newly being acknowledged in Turkey. In fact this market is not a new concept for our country.In İstanbul Gold Exchange (İAB) and İstanbul Stock Exchange (İMKB) future markets are founded formerly but the economic uncertainty caused by the high inflation rates and fluctuation in the prices made these markets unoperational. In the VOB the increase of the trading volume is a positive process. But it?s understood that the market should be introducted better because the operations were mostly on two agreement types.These markets are a necessity in the economical system. With the basic functions like hedging or forward-looking price estimates, futures market will be an indispensable component of the economical system of Turkey like it is in the world.Keywords1.Future2.Option3.Derivative Products4.Exchange5.Hedging