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.
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*|
|USOIL||WTI Crude Oil||$0.05||10 barrels (1 lot)||8||9|
|UKOIL||ICE Brent Oil||$0.05||10 barrels (1 lot)||8||9|
|NGAS||Natural Gas Henry Hub||$0.02||100 Btu (1 lot)||3||4|
|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.
|USOIL||Sun 22:00 - Fri 20:45||every day between 21:00 - 22:00|
|UKOIL||Mon 00:00 - Fri 20:45||every day between 21:00 - 00:00|
|NGAS||Mon 22:00 - Fri 20:45||every day between 21:00 - 22:00|
|WTI||Sun 22:00 - Fri 20:45||every day between 21:00 - 22:00|
|Brent||Mon 00:05 - Fri 20:45||every day between 21:00 - 00:05|
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:
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.
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 22:00 GMT and 00:00 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.
|August 2017||17 July 2017||29 June 2017||26 July 2017|
|September 2017||17 August 2017||27 July 2017||24 August 2017|
|October 2017||15 September 2017||28 August 2017||22 September 2017|
|November 2017||19 October 2017||26 September 2017||26 October 2017|
|December 2017||17 November 2017||30 October 2017||27 November 2017|
|January 2018||18 December 2017||29 November 2017||26 December 2017|