Due to the current high volatility in energy products, as well as the recent decision by certain exchanges to support negative pricing for a number of energy contracts, Euro Pacific Securities, Inc. has made the following policy changes to its expiration / near-expiration risk policies, effectively immediately.
Two Day Closeout Policy
Cash-settled contracts will be subject to the same liquidation schedules as the physical delivery contracts against which they are indexed.
By example, this will mean that both physical delivery contracts such as [email protected] (physically settled) and [email protected] (cash settled) will both be subject to mandatory closeout commencing the beginning of the regular trading session 2 days ahead of their respective expirations.
Note: The commencement of expiration risk and position reduction policies varies slightly based on the contractual details of the specific underlying commodity product , but is always referential to the earlier of:
- Last trading date
- Expiration date
- First notice date
Five Day Risk Reduction Policy
Starting 5 business days ahead of expiration, only risk-reducing orders in expiring month contracts will be accepted.
Orders that open or increase positions, as well as increase the expiration month risk will not be accepted. Position closing orders and margin reducing will always be accepted.
|Symbol||Security Description||Settlement Method|
|CL||Light Sweet Crude Oil Futures||Physical Delivery|
|WTI||ICE West Texas Intermediate (WTI) Light Sweet Crude Oil Futures||Cash|
|QM||E-mini Crude Oil Futures||Cash|
|BZ||Brent Crude Oil Last Day Financial Futures||Cash|
|BB||Brent Crude Oil Futures||Cash|
|HO||NY Harbor ULSD (HO) Futures||Physical Delivery|
|RB||RBOB Gasoline Futures||Physical Delivery|
|HOIL||ICE Heating Oil Futures||Cash|
|RBOB||ICE RBOB Gasoline Futures||Cash|
|QU||E-mini RBOB Gasoline Futures||Cash|
|COIL||ICE Brent Crude Futures||Cash|
|GOIL||ICE Gasoil Futures||Physical Delivery|
|QH||E-mini MY Harbor ULSD Futures||Cash|
This list is subject to change.