- Trading Screen Product Name
- Crude Diff Futures
- Trading Screen Hub Name
- Argus WTS/WTI 1st Line
- Contract Symbol
AFH
- Contract Size
1,000 barrels
- Unit of Trading
Any multiple of 1,000 barrels
- Currency
US Dollars and cents
- Trading Price Quotation
One cent ($0.01) per barrel
- Settlement Price Quotation
One tenth of one cent ($0.001) per barrel
- Minimum Price Fluctuation
One tenth of one cent ($0.001) per barrel
- Last Trading Day
Last Trading Day of the contract month
- Option Style
Options are average priced and will be automatically exercised into
the Argus WTS vs WTI 1st Line Future on the expiry day if they are
"in the money". The 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 Argus WTS vs WTI 1st Line Average Price Option is a
premium-paid-upfront option. The traded premium will therefore be
debited by the Clearing House from the Buyer and credited to the
Seller on the morning of the Business Day following the day of
trade. Members who are long premium-paid-upfront options will
receive a Net Liquidating Value (NLV) credit to the value of the
premium which is then used to offset the initial margin requirement
flowing from both these options and positions in other energy
contracts. Members who are short premium-paid-upfront options will
receive an NLV debit in addition to their initial margin
requirement. NLV is calculated daily with reference to the
settlement price of the option.
- Expiry
19:30 London Time (14:30 EST).
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 barrel equal to the average of
the settlement prices of the Argus WTS vs WTI 1st Line 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
This contract will support Custom Option Strikes with strikes in
increments of $0.01 within a range of -$10 to $25. This range may
be revised from time to time according to future price movements.
The at-the-money strike price is the closest interval nearest to
the previous business day's settlement price of the underlying
contract.
- Contract Series
Up to 60 consecutive months
- Final Payment Date
Two Clearing House Business Days following the Last Trading Day
- Business Days
Publication days for Argus Crude
- MIC Code
- IFED
- Clearing Venues
- ICEU