HKFE Announces Revised Margins for Futures Contract
Market Operations
13 Nov 2001
Hong Kong Futures Exchange (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), announced today (Tuesday) that with effect from the commencement of trading on Wednesday, 14 November, the minimum margins to be collected by an Exchange Participant from its clients in respect of their dealings in the following futures contract will be as outlined in the table below. The adjustments are based on the clearing company's normal procedures and standard margining methodology.
* Amounts in brackets are the original margin rates:
Korea Stock Futures Contract
|
Margin Rate |
Initial Margin
(KRW)
|
Maintenance Margin
(KRW)
|
| Kookmin Bank |
Full Rate
Spread Rate
|
214,400 (22,900) per lot
32,160 (3,435) /lot/side |
171,520 (18,320) per lot
25,728 (2,748) /lot/side |
HKFE emphasised that the above are minimum rates and Exchange Participants should set their margin requirements according to their clients' individual circumstances.
Note: The trading of the Kookmin Bank Futures contract and Options on the Kookmin Bank Futures contract were suspended from 29 October to 8 November inclusive. The suspension coincided with the suspension of the share trading of Kookmin Bank in the cash market as indicated by Kookmin Bank's announcement on 11 October. Since Kookmin Bank shares resumed trading in the cash market on 9 November, their price has risen substantially.