What are the different types of delivery logic and how is the position marked for delivery ?
Jainam Broking Limited
Last Update il y a 3 ans
The different types of contract and delivery logic are as follows:-
A. Compulsory: In Compulsory delivery contract, all open interest position of the Members at expiry of the contract result into deliverable obligations.
B. Seller Option: Delivery in seller option contract is based on seller’s choice. If the Seller Member gives valid intention to give delivery within the stipulated time limit
as provided in the relevant contract, the MCXCCL will mark the delivery to the Buyer Member. Rest of the open positions on expiry of the contract , get closed out at the Due Date Rate
C. Both Option: When intentions of both Buyer and Seller Member to give/take delivery match on the expiry of the contract, then the delivery will be marked to the extent of matched quantity on expiry of the contract. If the intentions are not received, all open interest position of the Members get closed out at DDR (Due date rate).
D. Cash Settled contracts: Contracts specified as Cash settled shall be settled by way of Funds settlement and no delivery settlement shall take place for such contracts.
The delivery marking will be done at Client Level at the end of trading day as under:
A. During tender period (against seller intention)
For ‘Base Delivery Centre’– Intention quantity (to the extent of client
open position)
For ‘Additional Delivery Centre’–
o For Gold, GoldM and Silver commodities – To the extent of
matched delivery intention quantity subject to client open
position and Movement Order compliance
o For rest of the commodities – To the extent of delivery intention
quantity subject to client open position.
B. At contract expiry – All open positions shall be marked for delivery.
Preference may be given to buyers who have marked an intention of taking delivery.
In view of the same, Members are requested to take note of the following:-
a. Submit intention(s) at Client Level during tender period.
b. Make arrangements for funds and commodities pay-in at client level towards
delivery settlement.