Hong Kong Exchanges and Clearing Limited (HKEX) announced that will introduce its planned Offshore Renminbi (CNH) and US dollar (US$) Gold Futures on Monday, 10 July 2017.
They will be the first pair of commodity futures that can be physically delivered in Hong Kong.
The 12 Contract Months on the launch day will comprise the Spot Month (August 2017 ) and next 11 calendar months (September, October, November, December 2017 and January, February, March, April, May, June, July 2018).
Fee Waiver and Levy Exemption
HKEX will waive its Trading Fee and Settlement Fee during the first six months of trading of the new products. The contracts will also be exempted from the Commission Levy throughout the same period.
Liquidity Provision and Joint Promotion Programme
Through an incentive and fee rebate programme, HKEX has appointed Liquidity Providers and Proprietary Traders to provide liquidity for the Gold Futures contracts. A Joint Promotion Programme has also been introduced to support eligible participants in running marketing and educational programmes to enhance investors’ knowledge of the Gold Futures contracts. Eligible applicants include Futures Exchange Participants (EPs), information vendors and financial industry associations.
Physical Settlement Details
The list of EPs with physical delivery capabilities, and the list of recognised parties involved in the chain of integrity (recognised refiners, recognised forwarders, etc) will be published in the product section of the HKEX website in due course.