The Multi Commodity Exchange Clearing Corporation Ltd. (MCX), on October 16, 2024, issued a notification regarding the Review of Margin Period of Risk.
Currently for the computation of Initial Margins, the VaR of all commodities is scaled up by their respective MPOR as per Circular No. MCXCCL/RISK/231/2024 dated September 17, 2024. MPOR is one of the risk measures of liquidity/ liquidation in commodity contracts. MCXCCL has reviewed the liquidity in all commodities and its variants and has decided the minimum MPOR for the month of November 2024. Accordingly, for the computation of Initial Margin, the VaR of all commodities shall be scaled up by their respective MPOR which is attached as Annexure – 1 attached to the document.
[Notification No. MCX/MCXCCL/693/2024]
