In the process of futures trading, in order to ensure the performance of futures contracts and the good operation of the futures market, after the end of each trading day, the futures clearing institution needs to settle the profit and loss of the futures margin account on that day and transfer funds according to the settlement results. This system is called debt-free system today.

Different from the full settlement system and membership grading system implemented by futures exchanges, all futures exchanges in China implement the debt-free system on the same day, as follows:

1 Settle the transactions and positions of all accounts according to the contracts of different varieties and different months, and summarize them on this basis, so as to timely and truly reflect the profit and loss of each trading account.

2. Settle the profit and loss of liquidation, and also settle the floating profit and loss arising from the opening contract.

3. The margin occupied by trading positions shall be settled daily.

4. The settlement shall be made through the futures trading grading settlement system (the futures exchange shall settle for members and the members shall settle for customers).

From the point of view, when the margin is insufficient due to trading losses, the relevant members (clearing institutions) need to replenish the funds in the margin account within the specified time. Therefore, investors are advised to add margin within the specified time when they find that the margin is insufficient, otherwise they will be forced to close their positions.