Dubai India Crude Oil (DICO) will allow participants to trade in a Crude Oil futures benchmark referencing the Indian Rupee, whilst trading in US Dollars. The use of DICO as a reference pricing mechanism extends far beyond its local and regional markets. The product design of DICO brings together both the DGCX WTI prices and the flagship USDINR contract. With WTI pricing accounting for over 25% of global supply, the DICO futures contract provides accessibility to the Indian energy markets to a wider range of participants.
Paired with the DGCX’s existing INR currency suite and WTI offerings, the DICO futures contract draws a stronger appeal to existing contracts on other exchanges which are of a differing size. The DICO contract will help facilitate price discovery by new and existing market participants, offering protection and hedging opportunities to an increasingly motivated trading community.
- Trade your views, tax free on an Indian Rupee linked benchmark to the international Crude Oil market
- Arbitrage opportunity with global commodity exchanges as well as existing Energy contracts
- Low cost structure with additional margin credit against the major DGCX WTI and Mini WTI Futures contracts
- Greater access to international energy markets with clear, understandable rules, regulations and contract specifications
- Unique trading opportunity in the region to participate in global oil markets
- Unique contract size that can be compared as a ratio to other global exchanges
- Indian Rupee based, USD denominated, cash settled with a tick size of USD $3
- Tax Free – No transaction Tax and Zero Capital Gains tax
- Traded on a secure regulated marketplace permitting global participation
- Market hours encompassing the largest global liquidity pools
- Market hours from 7.00 AM till 11.55 AM UAE time
- Overlaps most trading zones including Europe and United States
Contract Parameters Contract Type Future Contract Name Indian Crude Oil Futures Contract Symbol DICO Underlying Indian Crude Oil Futures Contract Contract Size 3 Lots Notional Contract Value 3 x Indian Crude Oil Futures Price Trading Currency USD Settlement Currency USD Price Quote US Dollars and Cents per 3 Indian Crude Oil Futures Contract Tick Size 1 Tick Value US$ 3 Settlement Basis Cash Settled Final Cash Settlement Price (FCSP) FCSP is based on FCSP for DGCX WTI Crude Oil Futures Contract, converted using official USDINR reference rate issued by relevant body, on Last Trading Day Last Trading Day (LTD) Four Business Days prior to the 25th Calendar Day of the month preceding the expiry month. month (e.g. the March contract will expire on the fourth Business Day prior to the 25th of February) Trading Days Exchange Business Days* Trading Hours 07:00 – 23:55 Hours Dubai time Trading Months Monthly contracts for two months forward New Contract Listing Business Day immediately following the Last Trading Day Max Order Size 200 Lots Wholesale Trades Block Trade minimum size threshold: 50 lots. EFP/EFS also available. Trades must be submitted 15 minutes after execution No Cancellation Range See link: www.dgcx.ae/price-limits
Expiry Month Expiry Code Last Trading Day Oct'18 DICO-20181019 19 Oct 2018 Nov'18 DICO-20181116 16 Nov 2018