Intercontinental Exchange (NYSE: ICE), the leading global network of exchanges and clearing houses, announced updated terms for the mini gold futures and options contracts that are listed and traded on ICE Futures U.S. The change is effective today and reflects customer feedback on size, quality and delivery options for the mini gold products. These contracts were previously listed on Liffe U.S. and were transitioned to ICE Futures U.S. in June.
The new contract specifications apply beginning with the February 2015 contract. The terms provide market participants with the ability to deliver a single kilo bar (32.15 troy oz) in 0.9999 fineness against a futures position and eliminate the use of Warehouse Depository Receipts.
“We have been working closely with market participants to ensure that our metals complex meets their trading and risk management needs while evolving with the current market conventions,” said ICE Futures U.S. President Ben Jackson . “These changes make the ICE mini gold contract the most effective physically delivered futures contract in terms of accurately representing the underlying market, while enabling efficient hedging or exposure to gold prices.”