The specific provisions of the position limit system of my country's futures exchanges are as follows:

First, the exchange can determine the contract size of each month for each variety based on the specific conditions of different futures varieties. The position limit amount of a certain month's contract is applicable to different position limit amounts at different stages of the transaction process. The position limit amount of the contract entering the delivery month is strictly controlled.

Second, use a combination of restricting member positions and restricting customer positions to control market risks.

Third, hedging trading positions are subject to an approval system, and their positions are not restricted.

Fourth, if the same investor opens multiple trading codes at different brokerage members, the total number of positions in each trading code must not exceed the position limit of one investor.

Fifth, the exchange can adjust the position limits of broker members based on their net assets and operating conditions, and can increase the position limit for broker members with larger net capital amounts or transaction amounts. The position limit of brokerage members is determined by the exchange once a year.

Sixth, the exchange’s adjustment of the position limit must be approved by the board of directors and reported to the China Securities Regulatory Commission for filing before implementation.

Seventh, the number of positions held by members or customers shall not exceed the position limit specified by the exchange. For members or investors who exceed the position limit, the exchange will perform forced liquidation in accordance with relevant regulations. If an investor has multiple trading codes with different brokerage members and the total position exceeds the position limit, the exchange will designate the relevant brokerage member to forcefully liquidate the client's excess positions.

If the sum of the positions of all investors under a brokerage member exceeds the member's position limit, the brokerage member shall, in principle, divide the difference between the total amount and the position limit number by the total amount, and the member shall Supervise the relevant investors to complete the reduction of positions within the prescribed time; if the positions should be reduced but are not reduced, the exchange will perform forced liquidation in accordance with relevant regulations.