Where a futures contract is newly listed, the corresponding option contract shall be listed at the same time. For example, the CU 19 1 1 futures contract was listed on 201811October 16, and its corresponding option contract was also listed on the same day.
Give an example to illustrate how the copper option contract is added.
Assuming that the price limit of copper futures contract is 5% and the settlement price of the underlying copper futures contract is 50,000 yuan/ton in the previous trading day, the price limit of 1 times is equal to 50,000× 5% = 2,500 yuan/ton, and the exercise price of the corresponding option contract should cover the range of [50,000-2500,50,000+2,500].
On the day when the futures contract is newly listed, the corresponding option contract is hanged at the same time. If the futures contract is newly listed, its price limit ratio is twice that of the normal price limit, that is, 2×5%= 10%, then the price limit of 1 times is equal to 50000× 10%=5000 yuan/ton, and the exercise price of the corresponding option contract should cover [50000] According to the setting of the exercise price range in the option contract, the exercise prices of 45,000, 46,000, 470,005, 3,000, 54,000 and 55,000 should be issued on the same day, totaling 1 1.
How is the margin of copper option calculated?
The collection standard of the option seller's trading margin is the greater of the following two:
(1) option contract settlement price × trading unit of the underlying futures contract+trading margin of the underlying futures contract -( 1/2)× option contract imaginary value;
(2) Settlement price of option contract × trading unit of the underlying futures contract +( 1/2)× trading margin of the underlying futures contract.
These include:
Virtual value of call option contract =Max (exercise price-settlement price of the underlying futures contract, 0)× trading unit of the underlying futures contract;
Virtual value of put option contract =Max (settlement price of underlying futures contract-exercise price, 0)× trading unit of underlying futures contract.
What is the position limit of copper options?
Copper options and copper futures are subject to position restrictions respectively. Non-futures company members, customers and market makers have limited absolute positions, and futures company members are not limited to positions. The specific position limit shall be announced by the Exchange.
What is the option self-hedging business of copper options?
On the maturity date, non-futures company members and customers can apply for hedging and closing their two-way option positions under the same trading code. For example, investor A whose trading code is Cu191kloc-0/c50000 can apply to the exchange for hedging and closing its buying position and selling position of Cu191c50000. For market makers, the exchange automatically hedges and closes the two-way option positions under its market-making code every day, and market makers can apply for not automatic hedging.
What is the futures self-hedging business of copper option buyers?
On the expiration date, the option buyer (including the market maker) can apply for hedging and liquidation of the two-way future positions obtained by the falling party with the same trading (market making) code, and can also hedge and liquidate the future positions obtained by the falling party with the same trading (market making) code and the original position in the futures market, and the hedging amount shall not exceed the future positions obtained by the exercise.
For example, investor A obtained a long position of Cu1911c50000 under the trading code of CU 19 165438. After exercising the buying position of Cu 19 1 1 p 51000, the short position of Cu191can be obtained, and you can apply to the exchange for hedging and closing its Cu19. If A has long or short positions in the CU 19 1 1 futures market, A can also apply for hedging and closing the original positions in future positions and futures market obtained by its downlink trading code, and the hedging amount shall not exceed the future positions obtained by exercising.
What is the futures self-hedging business of copper option sellers?
On the expiration date, the option seller (including the market maker) can apply for hedging and closing the futures two-way position obtained by its performance under the same trading (market making) code, or apply for hedging and closing the futures position obtained by its performance under the same trading (market making) code and the original position in the futures market, and the hedging amount shall not exceed the futures position obtained by its performance.
For example, investor A, with the trading code of CU 19 1 c50000, obtained a short position of Cu191after selling the position. After selling positions in Cu 19 1 1 p 51000, the long position of Cu191can be obtained, and you can apply to the exchange for hedging and closing its Cu19. If A has long or short positions of CU 19 1 1 in the futures market, A can also apply for hedging and closing the original positions of future positions and the futures market obtained by performance under the same trading code, and the hedging amount shall not exceed the future positions obtained by performance.
What are the channels for investors to submit applications for self-hedging of copper options?
Investors can put it forward through the trading client, or contact the member units and put it forward through the service system.