PRODUCT


Iron Ore Delivery

To operate a Designated Delivery Warehouse, the applicant shall satisfy the following conditions:

1. holding the business license issued by the industrial and commercial administration;

2. having the net assets and registered capital which satisfy the amounts prescribed by the Exchange;

3. having sound financial situations and good anti-risk capabilities;

4. having good business reputation and sophisticated warehousing management regulations and policies; and there being no records of any material violations of laws or any revocation of the the Designated Delivery Warehouse qualification for the recent three (3) years;

5. accepting the Exchange's trading rules, detailed delivery measures and other provisions;

6. the main management personnel of the warehouse having the warehousing management experience;

7. the storage yards and warehouses being of a certain scale, and having the conditions for storing the listed commodities of the Exchange, the perfect and complete equipment and devices, the measurement which satisfies the prescribed requirements, and the good transportation conditions;

8. having the strict and sophisticated commodity inspection and analysis polices, commodity load-in and load-out policies, commodity inventory management policies and other policies;

9. the qualification for bonded warehouse operation in case of application for bonded delivery business; and

10. other conditions required by the Exchange.

 

Clearing

The Exchange shall implement the margin policy. The margin shall refer to the funds paid, or the  warehouse receipts on par, foreign currency, treasury bonds or other negotiable securities submitted, by the futures traders subject to the applicable provisions and used for settlement and performance guaranty.