General exchanges and companies will have the following strategies:
1. For individual customers to enter the delivery month, the regulations of each exchange for each product are different. Some restrictions are that only corporate customers can enter the delivery month or both individual customers and institutional customers can enter the delivery month, but individual customers only have a few days of trading time in the delivery month, and the open positions due will be forced to close.
2. Under normal circumstances, the position in the delivery month must be adjusted to an integer multiple of the minimum delivery volume according to regulations.
3. Prevent delivery default by increasing the margin ratio.
4. Trading all regulations concerning the position limit in the delivery month and one month before the delivery month will limit the position to a very low level.
In addition, there are two levels of risk management and control in the futures market, one is the exchange and the other is the futures company. Generally, when the delivery month involves the risk of default delivery, the futures company will contact the customer in time. If it cannot contact in time, the futures company also has the right to forcibly close the position. Generally, the risk control department of the exchange is not used.
If it can't be leveled, it means that you have violated the delivery regulations. Let's take the natural person's gold position as an example. Once entering the delivery month, the position of a natural person customer is not adjusted to 0 lots according to the regulations, then the natural person customer has violated the relevant regulations on futures trading. According to the regulations, the exchange will carry out compulsory liquidation from the first trading day of the delivery month (that is, from the first trading day to the last trading day of the delivery month). The profits generated by forced liquidation shall be implemented in accordance with the relevant provisions of the state (that is, they shall not be owned by natural person customers), and the losses generated by forced liquidation shall be borne by the relevant responsible persons.