The National Commodity and Derivatives Exchange Limited (NCDEX) on March 06, 2025, notified regarding the Margin Framework for Commodity Derivatives Segment.
The following has been stated namely: -
• Members and participants are informed that the minimum Initial Margin (IM) and Margin Period of Risk (MPOR) for commodity derivatives are revised based on commodity categorization, with the Short Option Minimum Margin (SOMM) set as the minimum IM for options on futures.
• The revised minimum Initial Margin (IM) and Margin Period of Risk (MPOR) for commodity derivatives vary by volatility category: low (8% IM, 3 MPOR), medium (10% IM, 3 MPOR), and high (12% IM, 4 MPOR), as detailed per commodity in the provided table.
• The shall be effective from April 01, 2025.
[Notification no. - NCCL/RISK-011/2025]
