Segments

Position Management

Open Position

Once a trade has been registered, an open position is created. The open position has a series of rules:

  • Trades with opposite sign for the same contract are netted regarding the open position; for example, the purchase of two Base annual 2022 futures and the sale of three futures from the same contract leave an open position of one futures contract sold from Base annual 2022.
  • In segregated clients’ accounts, which have a "gross record", different trades for the same contract are not netted; following the previous example, the purchase of two Base annual 2022 futures and the sale of three futures from the same contract leave an open position of two futures purchased and three sold from Base annual 2022.

Although clearing occurs at the open position level, trades are live until the expiry date.

Live Trades

Although trades with opposite sign on the same contract are normally netted (except in accounts, which have a "gross record”), the system does not delete the trades but keeps them registered.

This record is important for swap contracts.

In a future contract, where there is a daily variation margin, the contracts are fungible and since the variation margin updates all the prices of the contracts at the daily settlement price of the session, the netting of trades is complete. Nevertheless, this daily variation margin does not occur in swaps contracts, therefore the netting of trades is not as in futures, and a pending variation margin is maintained.

 

 

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