Get App
The country’s largest commodity exchange MCX is all set to launch iComdex Energy index futures on October 7, 2021. Market regulator SEBI, recently, allowed MCX to launch futures trading on iComdex Energy index.
It is India’s first tradeable Energy Futures Index that tracks the real-time performance of near month MCX Crude oil and Natural gas futures contracts.
Investors who are interested in energy sector can look at trading in this futures contracts for portfolio diversification, sectoral benchmark, arbitraging between index & underlying, etc.
The symbol for the futures contract is MCXENRGDEX and the underlying index is MCX iCOMDEX ENERGY.
The initial margin required is minimum 10% or based on SPAN whichever is higher. The trading unit will be 1 lot and the maximum order size will be 80 lots. The contract value will be Rs 6.5 lakh (Rs 125 x Index value of ~5,200). The maximum open position limit permitted for individual clients will be 1,000 lots or 5% of market wide open position, whichever is higher for all iComdex Energy index futures contracts combined together.
The November month contracts will expire on November 9, 2021 and the contracts will be settled by cash on expiry.
MCX’s Energy Index will be traded from Monday to Friday between 9 a.m. and 11:30/11:55 p.m.
To read more about the announcement, click the following links
Link 1
Link 2