Oil & gas

BenchMark offers Contracts for Difference based on energy futures contracts on WTI Oil (expiring and spot), Brent Oil (expiring and spot) and Natural gas Henry Hub.

Spreads and Margins

Trading with CFDs on energy contracts allows you to take advantage of all price movements in the underlying commodity markets on competitive trading conditions - low margin requirements, tight spreads and no commissions. Spreads and margins shown in the table below can vary with the market movements.

Code Name Minimum spread Minimum volume Margin*   
         EUR USD 
USOIL WTI Crude Oil $0.05 10 barrels (1 lot)  8
UKOIL ICE Brent Oil $0.05 10 barrels (1 lot)  8
NGAS Natural Gas Henry Hub $0.02 100 Btu (1 lot)  3
WTI WTI Crude continuous $0.05 10 barrels (1 lot) 2% 2%
Brent Ice Brent continuous $0.05 10 barrels (1 lot) 2% 2%

*The given margin requirements are related to the announced minimum volumes.

Trading hours in GMT

Code Trading hours Interruption
USOIL Sun 23:00 - Fri 21:45 every day between 22:00 - 23:00
UKOIL Mon 01:00 - Fri 21:45 every day between 22:00 - 01:00
NGAS Mon 23:00 - Fri 21:45 every day between 22:00 - 23:00
WTI Sun 23:00 - Fri 21:45 every day between 22:00 - 23:00
Brent Mon 01:05 - Fri 21:45 every day between 22:00 - 01:05

Spot Oil (Non-expiring Oil)

Investors seeking to speculate on Oil price fluctuations should recognize that Oil is commonly traded as Futures Contracts that requires the exchange of assets for cash at a future date. If investors do not wish to take delivery of the underlying asset, all positions must be closed before the contracts expiration date. As such, trading Oil as a spot instrument negates these concerns for those investors who are only interested in price speculation. The spot price of Benchmark Oil instruments is derived from a weighted average between the relevant nearby first month and second month Commodity Futures Contracts and follows the business day convention of New York. The following pricing method offers two main advantages for investors:

  1. Reduction in the level of volatility when the first futures contract approaches expiration, since there is often less liquidity.
  2. Investors can transfer their postions from current month to the nex one, without having to close their open positions.

Rollover of Spot Oil

Benchmark’s Spot Oil instruments are margined products. As such the traded value is financed by way of an overnight rollover charge. Positions that are opened and closed within the same trading day will not be subject to overnight charges. The amount of the applied rollover is based on the number of business day the position is held and a markup, where the the difference between the contracts is included in small daily parts.

You can find the exact amount of the applicable swap in the MetaTrader 4 and 5 platforms. To do so, you have to click with the right button of the mouse on the Market Watch window. After that a context menu will appear where you can choose Symbols (for the MetaTrader 4 platform, after you select the desired metal, you have to press the Properties button). Bear in mind that the swap numbers are shown in the currency of the account for 1 lot.

Oil and gas trading rollover

CFDs on oil and gas are based on the price of the real futures contracts. Oil and natural gas have a monthly expiration (please see the tables below). BenchMark does not make physical delivery of the asset at the end of the futures contract. Therefore, before expiry date CFD positions on oil and gas must be rolled for the next month. 

Clients that hold an open position in USOIL, UKOIL and NGAS on the "Expiry date in MetaTrader" will be closed at our bid/ask at 20:00 GMT. The only consequence of this is the client will realize any floating P/L at the time it is closed.

The new contracts for NGAS and USOIL start trading at 23:00 GMT and 01:00 GMT for UKOIL. After the trading starts, clients can re-open their positions again in the new contract. Please, contact us If you want BenchMark Finance to reopen your positions after the interruption.

BenchMark always reminds about the procedures and expiration dates of the contracts.

Exipiry Dates

Contract USOIL UKOIL  NGAS
December 2017 16 November 2017 23 November 2017
January 2018 15 December 2017 26 November 2017 22 December 2017