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RSS3 Futures

RSS3 Futures is a futures contract on underlying Natural Rubber Ribbed Smoked Sheet No. 3 (RSS No.3) as per "The Green Book" and one contract underlying on 5,000 kg. RSS3 Futures has trading hours between 9.15 to 16.55 without break for more coverage international market’s trading hours.

RSS3 Futures has 2 settlement methods, Cash Settlement and Delivery Settlement method. Settlement method depends on investors’ or rubber-involved entrepreneurs’ preference, so entrepreneurs can use RSS3 Futures as risk management tool.

Summary of RSS3 Futures Contract Specification

Heading

Contract Specification

Underlying Asset

Natural Rubber Ribbed Smoked Sheet No. 3 (RSS No.3) as per "The Green Book"

Deliverable Grade

RSS No. 3 with specific qualities (House Term) accepted by Major International Tyre Manufacturers such as Bridgestone and Michelin.

Contract Size

5,000 Kg (5 metric tonnes)

Delivery Unit

20,000 Kg (20 metric tonnes) or multiple thereof

Contract Months

7 consecutive months

Price Quotation

THB per kg

Minimum Price Fluctuation

0.05 Baht/kg (or THB 250 per contract)

Trading Hours

Pre-open: 09:15 - 09:45
Open session: 09:45 - 16:55

Price Limit

Initial limit is ± 5% from the latest settlement price. Should traded price reach the limit, trading will be halted for a certain period.
After trading resume, limit will be expanded to ± 10% of the latest settlement price

Position Limit

Own or control < 10,000 contracts net long or net short in respect of any contract month (except the 1st contract month) or in respect of any or all contract months combined. and
Own or control < 1,000 contracts net long or net short on the 1st contract month.

Last Trading Day

The business day immediately preceding the last business day of the contract month. The trading of expiring contract will be ceased at 16:55 hrs on Last Trading Day.

Settlement Method

Investors must submit acceptance/ delivery notices on last trading day for physical delivery. Only investors with capacity to take/deliver physical could submit the notices.
In case that delivery notices could not be matched with acceptance notices or investors do not submit notices, the positions will be cash settled with the Final Settlement Price.
The Final Settlement Price will be calculated from the Volume weight average price (VWAP) on the last trading day, providing that trading volume of expiring contract exceeds the level specified by exchange. If the trading volume does not meet the criteria, then use the last 3-Day average of Daily Settlement Price (including last trading day).

Delivery Method

Delivery must be made within the last trading day of the delivery month at buyer options between:
1. Free on Board (F.O.B) term at either Bangkok port, Lam Chabang port or other port as specified by the Exchange.
2. Delivery within local warehouse area (Bangkok, Nakornpathom, Pathumthani, Samutprakarn, Samutsakorn, Saraburi, Cholburi, Rayong or other warehouse as specified by TCH)

Exchange Fee

Less than or equal to 40 Baht per contract per side