Products
FFA Swaps
Tanker Voyage: TC2, TC4, TC5, TD3, TD5, TD7
Dry Voyage: C4, C4E, C7, C7E , C3, C5
Dry Timecharter: CTC, PTC, STC
Dry Trip: P2A, P3A
FFA Options
Dry Timecharter Basket Routes: CTCO, PTCO, STCO
FFA Swaps
Contract description- Tanker Routes| Description | Cash settled freight forward contracts on the following Tanker Voyage Routes: Baltic TC2 (37,000 mt Continent – USAC)
Baltic TC4 (30,000mt Singapore - Japan)
Baltic TC5 (55,000mt ME - Japan)
Baltic TD3 (250,000 mt MEG-Japan)
Baltic TD5 (130,000 mt W Africa – USAC)
Baltic TD7 (80,000 mt North Sea – USAC) |
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| Lot size | 1,000 mt |
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| Minimum tick | US $ 0.0001 to account for final settlement |
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| Fixed price | The traded Worldscale Rate (Worldscale points) |
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| Fixed amount | The fixed price/100 multiplied by the Flat Rate for each pricing date in the settlement period, multiplied by the quantity |
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| Floating amount | In respect of daily mark to market, the floating amount is the end of day Worldscale rate as supplied by the Baltic Exchange/100 multiplied by the Flat Rate on that day multiplied by quantity. In respect of final settlement, the floating amount is the arithmetic mean of the Baltic Exchange WS rate spot price/100 multiplied by the Flat Rate for each pricing date in the settlement period, multiplied by quantity. |
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| Last trading day | At 18:00 (UK) hours on last business day of each month within the contract series. Exception – December contracts will expire on the 24th December, or previous business day, where the 24th December is a non working day. |
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| Contract series | Front 6 Months, Front 4 Quarters, Front 2 Whole Calendar years. Out to a maximum of 36 months. |
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| Final payment | The first business day following the expiry day |
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| Business days | UK business days |
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Contract description- Dry Voyage Routes| Description | C4 , C4E (Capesize Richards Bay – Rotterdam)
C7 , C7E (Capesize Bolivar – Rotterdam)
C3 (Tubarao- Beilun and Baoshan)
C5 (W Australia – Beilun/Baoshan) |
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| Lot size | 1,000 mt |
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| Currency | US $ |
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| Minimum tick | US $ 0.0001 to account for final settlement |
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| Fixed price | The traded price or the previous day’s settlement price as supplied end of day by the Baltic Exchange |
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| Floating price | In respect of daily settlement, the floating price will be the end of day price as supplied by the Baltic Exchange. In respect of final settlement, the floating price will be equal to either the mean of the last 7 Baltic Exchange spot price assessments in the expiry month or (for C4E and C7E) to the mean of the Baltic Exchange spot price assessments for every trading day in the expiry month. |
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| Last trading day | At 18:00 (UK) hours on last business day of each month within the contract series. Exception – December contracts will expire on the 24th December, or previous business day, where the 24th December is a non working day. |
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| Contract series | C4, C4E, C7 and C7E – out to a time horizon of 3 whole Calendar Years (max 47 months), traded as either monthly contracts, quarters or Calendar Years. The quarters and calendars can be made up either of the front month of each quarter (ie Jan, Apr, Jul and Oct) or the full 3 or 12 months respectively. C3 and C5 - Front 3 months, following 3 quarters registered as front month of each quarter, out to 12 months. |
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| Final payment | On the first business day following the expiry day |
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| Business days | UK Business days |
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Contract description- Dry Timecharter Basket Routes| Description | CTC (Capesize TC Avg 4 routes)
PTC (Panamax TC Avg 4 routes)
HTC (Handymax TC Avg 6 routes) |
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| Lot size | 1 day |
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| Currency | US $ |
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| Pricing | US $ per day |
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| Minimum tick | US $ 0.0001 to account for final settlement |
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| Fixed price | The traded price or the previous day’s settlement price as supplied end of day by the Baltic Exchange |
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| Floating price | In respect of daily settlement, the floating price will be the end of day price as supplied by the Baltic Exchange. In respect of final settlement, the floating price will be the product of the mean of the daily Baltic Exchange spot price assessments for every trading day in the expiry month. |
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| Last trading day | At 18:00 (UK) hours on last business day of each month within the contract series. Exception – December contracts will expire on the 24th December, or previous business day, where the 24th December is a non working day. |
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| Contract series | Front 1 or 2 months (remaining from expired front quarter) Front 4 Quarters, Front 2 Half Years, Front 5 Calendar Years. |
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| Final payment | The first business day following the expiry day |
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| Business days | UK business days |
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Contract description- Dry Trip Timecharter Routes| Description | P2A (Skaw – Gib/Far East) Panamax Index route
P3A (Japan – SK/NOPAC R/V) Panamax Index route |
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| Lot size | 1 day |
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| Currency | US $ |
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| Minimum tick | US $ 0.0001 to account for final settlement |
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| Fixed price | The traded price or the previous day’s settlement price as supplied by the Baltic Exchange |
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| Floating price | In respect of daily settlement, the floating price will be the end of day price as supplied by the Baltic Exchange. In respect of final settlement, the floating price will be the product of the unweighted arithmetic mean of the last 7 Baltic Exchange spot price assessments in the expiry month. |
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| Last trading day | At 18:00 (UK) hours on last business day of each month within the contract series. Exception – December contracts will expire on the 24th December, or previous business day, where the 24th December is a non working day. |
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| Contract series | Front 6 Months |
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| Final payment | On the first business day following the expiry day |
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| Business days | UK business days |
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FFA Options
Contract description- Cash Settled Premium Paid Option on Dry Timecharter Basket Routes| Description | Cash settled Premium Paid Option on any of the following Dry Timecharter Basket Routes: CTCO (Capesize TC Avg 4 routes)
PTCO (Panamax TC Avg 4 routes)
STCO ( Supramax TC Avg 5 routes) These contracts, if “in the money” expire into their underlying freight forward contracts with a traded price equal to the Strike Price (see below) |
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| Lot size | 1 day |
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| Currency | US $ |
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| Pricing | US $ per day |
| Minimum tick | US $1 per day |
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| Option Type | Options are European style and will be automatically exercised on the expiry day if they are “in the money”. If an option is “out of the money” it will expire automatically. It is not permitted to exercise the option on any other day or in any other circumstances. No manual exercise is permitted. |
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| Option Premium | The Premium is paid at the time of purchase. |
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| Last trading day | At 17:00 hours UK time on last Business Day of each month within the contract series. Exception – December contracts will expire on the 24th December, or previous Business Day, where the 24th December is a non working day |
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| Expiry | 17:00 hours UK time on the Last Trading DayAutomatic exercise settings are pre-set to exercise contracts which are one minimum price fluctuation ($0.0001) or greater in-the-money when compared to the relevant reference price. Members are not permitted to override automatic exercise settings or manually enter exercise instructions for this contract.
The reference price will be a price in US dollars, cents and hundredths of a cent ($0.0001), per day equal to the final settlement price for the underlying freight forward contracts. For these purposes “final settlement price” means the final settlement price on the expiry day of the underlying freight forward contracts. |
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| Contract series | Front 1 or 2 months (remaining from expired front quarter)Front 4 Quarters, Front 3 Calendar Years. |
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| Strike Price | CTCO – Thirty strike prices in increments of $1000 per day both above and below the “at-the-money” strike price in all contract series.PTCO & STCO - Thirty strike prices in increments of $500 per day both above and below the “at-the-money” strike price in all contract series.Where the “at the money” strike price of the underlying commodity moves additional strikes will be added each Business Day. |
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| Business Days | UK Business Days |
