Commodity Derivatives: NSE rolls out 13 new contracts

Additionally, NSE has set up dedicated teams to provide ease of onboarding for new trading members, segmental enablement for existing trading members, and another operational process such as algorithmic trading approvals to provide ease and seamless experience

Option on Futures

♦ New products in gold, silver, copper, aluminium, lead, nickel, zinc metals

♦ Recently, NSE launched 6 new derivatives contracts -- WTI crude oil, natural gas, and silver

♦ NSE sees increased interest from participants in its commodity derivatives space

♦ FPIs and domestic MFs actively participating on NSE

New Delhi: National Stock Exchange (NSE) on Monday said it has launched 13 new commodity derivatives contracts, a move that will help investors efficiently manage their risk. With this launch, NSE offers 28 products in the commodity derivatives segment, the exchange said in a statement. The 13 new derivatives contracts that have been launched are ‘option on futures’ on gold 1kg futures, gold mini futures, silver mini futures, copper futures, zinc futures, gold guinea (8 grams) futures, aluminium futures, aluminium mini futures, lead futures, lead mini futures, nickel futures, zinc futures and zinc mini futures.

“With the launch of 13 new products today, futures and options on all key products in energy, bullion, and base metals categories are available on the NSE platform. This will enable participants to efficiently manage their risk across commodities on the exchange platform,” said Sriram Krishnan, Chief Business Development Officer, NSE.

Over the last few days, NSE has launched six new derivatives contracts -- WTI crude oil, natural gas, and silver. The exchange already had commodity contracts on gold 1kg futures, gold mini futures, gold petal futures (1 gram), silver 30 kg futures, silver 30 kg option on goods, WTI crude oil futures, natural gas futures, brent crude oil futures and copper futures.

The exchange said it has seen increased interest from participants in its commodity derivatives segment, with the launch of new products, particularly the derivatives on WTI crude oil and natural gas. Participation has been observed from diverse categories of participants including Foreign Portfolio Investors (FPIs) and domestic mutual funds (MFs), the exchange noted. Additionally, NSE has set up dedicated teams to provide ease of onboarding for new trading members, segmental enablement for existing trading members, and another operational process such as algorithmic trading approvals to provide ease and seamless experience.