Futures contract
A future is a standardised, exchange-traded contract that fixes today the price of an asset for delivery at a set future date.
Futures trade on exchanges such as the CME in Chicago or Eurex in Frankfurt. Each contract has a fixed size, tick and expiry: the E-mini S&P 500 is worth $50 per point, the DAX future €25 per point.
Unlike a CFD, a clearing house sits in the middle, so there is no counterparty risk with your broker. You post an initial margin set by the exchange, and gains or losses are settled every day.
At expiry, you must close or roll over to the next contract. Retail traders often use micro contracts (the Micro E-mini at $5 per point) to get sizes that fit their capital. In the US, futures are overseen by the CFTC.