Answer:  The forward market is an OTC market where the forward contract for purchase or sale of foreign currency is tailor-made between the client and its international bank.  No money changes hands until the maturity date of the contract when delivery and receipt are typically made.  A futures contract is an exchange-traded instrument with standardized features specifying contract size and delivery date.  Futures contracts are marked-to-market daily to reflect changes in the settlement price.  Delivery is seldom made in a futures market.  Rather a reversing trade is made to close out a long or short position.