Clearing & Membership » Trading Markets

• Futures Market
  

  The Futures Market is primarily intended for Hedging and Speculation. Contracts in Futures Market results mostly in Cash Settlement and do not frequently result in delivery. The Clearing House arranges guarantee of trades executed on the exchange. Contracts that must be closed out during settlement date. Delivery contracts will be delivered and settled through the certified receipts. MEX is having different delivery months in Products and as separate contracts for each commodity being traded at MEX. All contracts are settled on daily basis at the daily settlement price till the final settlement of commodity on the expiry date.
  
  Futures market consists of various book types wherein orders are segregated as Regular lot orders, Special Term orders, and Negotiated Trade Entries and Stop Loss orders depending on their order attributes. All orders have to be of regular lot size or multiples thereof.

• CFD Futures:
  A contract for difference (or CFD) is a contract between two parties, buyer and seller, stipulating that the seller will pay to the buyer the difference between the current value of an asset and its value at contract time. (If the difference is negative, then the buyer pays instead to the seller.) For example, when applied to Commodity, such a contract is an commodity derivative that allows investors to speculate on commodity price movements, without the need for ownership of the underlying commodity.
• Commodity CFD:
  Commodity CFDs, unlike most of the other forms of CFDs are actually priced from the value of the commodity trading on the global futures market. This is because in real life, the only way to trade commodities on any type of exchange is through futures, thus this is the most quoted and traded price. The reality of this is that Commodity CFDs mimic the futures value of the commodity including its trading times and individual tick value. In addition to this, commodity CFDs DO have an expiry date and, identical to if clients were holding the future its self.