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- In Commodity market, commodity or product have several varieties or grades & each lot in a grade me vary from other lots in same Grade | Improve Your Grades
- Commodity deliveries therefore have far greater implications for Buyers & Sellers than mere payment or receipt of contractual price, as in the case of Buying or Selling of securities.
- Commodity supply is not fixed.
- Stock Market, one unit of a security does not differ from another of the same type in term of its face value & Characteristics.
- One unit of securities does not deteriorate of period of time. Quality also deteriorates due to improper storage & transport conditions.
- In Stock Market derivatives is a product/contract which does not have any value on its own. It derives its value from an UNDERLYING Asset.
- Stocks supply is almost fixed.
