- Trading Screen Product Name
- Gasoil Futures (balmo)
- Trading Screen Hub Name
- LS GO 1st Line
- Contract Symbol
ULV
- Hedge Instrument
The delta hedge for the Low Sulphur Gasoil Average Price Balmo
Option is the Low Sulphur Gasoil 1st Line Balmo Future (ULV)
- Contract Size
100 Metric Tonnes
- Unit of Trading
Any multiple of 100 Metric Tonnes
- Currency
US Dollars and Cents
- Trading Price
One cent ($0.01) per Metric Tonne
- Settlement Price
One tenth of a cent ($0.001) per Metric Tonne
- Minimum Price Fluctuation
One tenth of a cent ($0.001) per Metric Tonne
- Last Trading Day
Last Trading Day of the contract month.
- Option Style
Options are Asian-style and will be automatically exercised on the
expiry day if they are “in the money”. The Swap Future
resulting from exercise immediately goes to cash settlement
relieving market participants of the need to concern themselves
with liquidation or exercise issues. If an option is “out of
the money” it will expire automatically. It is not permitted
to exercise the option on any other day or in any other
circumstances than the Last Trading Day. No manual exercise is
permitted.
- Option Premium / Daily Margin
The premium on the Low Sulphur Gasoil Average Price Balmo Option is
paid/received on the business day following the day of trade. Net
Liquidating Value (NLV) will be re calculated each business day
based on the relevant daily settlement prices. For buyers of
options the NLV credit will be used to off set their Original
Margin (OM) requirement; for sellers of options, the NLV debit must
be covered by cash or collateral in the same manner as OM
requirement. OM for all options contracts is based on the
option’s delta.
- Expiry
19:30 London Time
Automatic exercise settings are pre set to exercise contracts which
are one minimum price fluctuation or more “in the
money” with reference to the relevant reference price.
Members cannot override automatic exercise settings or manually
enter exercise instructions for this contract.
The reference price will be a price in USD and cents per metric
tonne equal to the final settlement price as made public by ICE for
the Low Sulphur Gasoil 1st Line Balmo Future for the contract
month. When exercised against, the Clearing House, at its
discretion, selects sellers against which to exercise on a pro-rata
basis.
- Strike Price Intervals
A minimum of 10 Strike Prices in increments of $10.00 per mt above
and below the at-the-money Strike Price. Strike Price boundaries
are adjusted according to futures price movements. User-defined
Strike Prices are allowed in $0.25 increments.
- Contract Series
Up to 2 consecutive calendar months
- Final Payment Date
One Business Day following the Last Trading Day
- Business Days
Publication days for ICE
- MIC Code
- IFEU
- Clearing Venues
- ICEU