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Metals

Metals

Metals

Gold Futures

Gold is one of the oldest and well-known products used for investment in the history of human existence. The investments in gold have traditionally been to hedge against inflation. For majority of the diversified investment funds, gold is a must have product in the portfolio.

Contract

Parameters

Contract Symbol

DG

Underlying

Gold

Contract Size

32 troy ounces. (1 kg)

Notional Contract Value

32xGold Price quote in USD pr troy ounces

Trading Currency

USD

Settlement Currency

USD

Price Quote

USD per Troy Ounces

Tick Size

USD 0.1

Tick Value

USD 3.2

Settlement Basis

Physical Delivery

Last Day of Trading

Third last business day of the month preceding the Delivery Month

Trading Days

Monday through to Friday

Trading Hours

DGCX Trading Hours

Trading Months

Feb, Apr, Jun, Aug, Oct and Dec

New Contract Listing

Business day immediately following last trading day

Max Order Size

200 contracts

Initial Margin based on SPAN

USD 1,400 per lot (subject to change)

Calendar Spread Margin

Depending upon each class of asset, spread position margin (Calendar spread margin) is charged using the SPAN framework. In case of Gold, 100% benefit is offered on calendar spread margins

Extra Margin

In time of high volatility, an extra margin as deemed fit by the Exchange may be imposed on all open positions

Delivery Margin

Five (5) times of the Initial Margins

Daily Price Movement limit

No Limits*

Note 1*: For the avoidance of "fat finger" errors, price band shall be USD 20 from previous settlement price e.g. if previous settlement price is USD 1,200 then the price band is from USD 1,180 to USD 1,220. If price breaches the daily price movement limit, trading in particular contract shall continue, with the new trading price range without any cooling period

 

Delivery Mechanism Details

 

Delivery Unit

31.99 troy ounces (1kg) cast in one bar, accompanied by the original Refiner's Certificate

Deliverable Quality

0.995 Fineness

Exchange of Futures for Physical (EFP)

EFP (Exchange of Futures of Physical) - a mechanism to exchange Futures for Spot, and Spot for Futures will be available

Approved CMI / Assayers

Names as listed on the DGCX/DCCC websites

Approved Brands

Names as listed on the DGCX/DCCC websites

Approved Refiners

Names as listed on the DGCX/DCCC websites

Approved Vaults

Names as listed on the DGCX/DCCC websites

Delivery Period

First Day of the Delivery Month

Notice Day

Last Day of trading of the Delivery Month

Delivery Process

The Matching of Buyers and Sellers for Gold delivery will be completed on a time priority basis upon receipt of their Tender/ Delivery Notices

Vault Charges

Rates applicable as published on the DGCX website

Daily Settlement Price

As per DGCX Notice # COMP-2008-014 dated April 22, 2008

Delivery Instrument

Warrant

Option for Cash Settlement

Open Positions that have not been closed out on the Last Day of Trading are subject to cash settlement as per gold cash settlement price declared by the Exchange