Futures trading is a complex trading method, and treasury bond futures refer to the futures varieties with treasury bonds issued by sovereign countries as the subject of futures contracts. At present, the active varieties of treasury bonds futures in the world are mainly medium and long-term treasury bonds futures, which are generally delivered in kind. So, how is the treasury bond futures delivered?

Treasury bond futures delivery rules:

1 If the seller of the treasury bond futures contract does not close the position before the contract expires, it is necessary to use standard bonds to perform the contract.

When the contract expires for physical delivery, deliverable bonds are a series of qualified bonds with different remaining maturities and different coupon rate.

Due to the difference in yield and remaining maturity, the price of deliverable government bonds is also different. Usually the bonds with the lowest delivery cost are also delivered, and the corresponding bonds are the cheapest deliverable bonds.

Note: Treasury bond futures trading does not involve the transfer of the ownership of China bonds, but only involves the risk of price changes related to the ownership. At the same time, treasury bond futures trading must be conducted in designated trading places, and treasury bond futures contracts are standardized contracts. At the same time, the treasury bond futures trading shall be subject to the debt-free day settlement system.