TOCOM Contract Specifications (Gold Standard and Gold Mini)

Gold Standard Contract:

Date of Listing

March 23, 1982

Type of Trade

Physically Delivered Futures Transaction

Standard

Gold of minimum 99.99% fineness

Trading Method

Computerized continuous trading

Contract Months

All even months within a year (on the day when a New Contract Month is generated, there will be 6 even months starting from the next even month after the month which the said day belongs to)

Last Trading Day

The third business day preceding the Delivery Day

First Trading Day of a New Contract Month

The business day following the Last Trading Day.

Delivery Day

The last day of each even month except December (the 24th for December). If the day is a holiday or a half-day holiday, Delivery Day is advanced.

Deliverable Goods

Bullions matching the standard, hallmarked with a trade name, among other marks, designated by the Exchange. Acceptable Weight Range of Deliverable Goods does not apply.

Delivery Points

Specified warehouses (warehouses located in Tokyo)

Method of Delivery

The Party Making Delivery submits to the Exchange a warehouse receipt, issued by a TOCOM-designated warehouse, for the delivery good. The Party Taking Delivery submits to the Exchange the Delivery Value based on the delivery price.

Trading Hours

Morning Session: 9:00 a.m. to 11:00 a.m.; Afternoon Session: 12:30 p.m. to 5:30 p.m. (Japan Local Time)


	The opening of the trading session will start with the nearest contract month, followed by the other contract months in two-minute intervals.

Contract Unit

1 kg / contract (approximately 32.15 troy ounces)

Delivery Unit

1 kg

Minimum Price Fluctuation

JPY 1 per gram

Daily Price Fluctuation Limit

	Daily Price Fluctuation Limits are determined based on the largest market price movement within a certain period of time and are set at a level where the probability that they will be reached is very low.

*	See Margin and Price Limit for the margins currently applied.

Maintenance Amount for Initial Clearing Margin (per contract)

	Maintenance Amount for Initial Clearing Margin is determined every month, in accordance with the price movement of the market, using the result of the following formula as a minimum amount: “an amount determined based on price movement within a recent certain period of time” x “Contract Unit Multiplier” x 1.5

*	See Margin and Price Limit for the margins currently applied.

Extraordinary Clearing Margin

	When the final contract prices for three or more contract months (excluding contract months with no applicable price limit) have reached the price limit in the same direction for two consecutive business days, deposit of an Extraordinary Clearing Margin will be requested for new positions in all contract months from the following business day, until the final contract price for all contract months (excluding contract months with no applicable price limit) stop reaching the price limits for three consecutive business days.

	The deposit amount is determined by multiplying 50% of the price limit by the Contract Unit Multiplier.

	Apart from the conditions specified above, if the Exchange deems it necessary for market management purposes, Extraordinary Clearing Margins may be separately imposed.

Customer Position Limit

	Non-commercials:
	All contract months combined = 5,000 contracts (for each long/short position)

	Commercials (*1):
	Current contract month = 10,000 contracts (for each long/short position)
	All contract months combined = 20,000 contracts (for each long/short position)

	*1: as defined by the Commodity Exchange Act and the Articles fo Incorporation
	("Those who, as their line of business, engage in the purchase, sale, intermediary of trades, brokerage or agency activity, production, processing or use of Listed Commodity Component Products (...)"

Same as Standard contract

Daily Price Fluctuation Limit

Same as Standard contract


*	See Margin and Price Limit for the margins currently applied.

Maintenance Amount for Initial Clearing Margin (per contract)

	This amount is determined every month, in accordance with the price movement of the market, using the result of the following formula as a minimum amount: “an amount determined based on price movement within a recent certain period of time” X “Contract Unit Multiplier” X 1.5

*	See Margin and Price Limit for the margins currently applied.

Extraordinary Clearing Margin

	If Extraordinary Clearing Margins are imposed for the Standard contract Extraordinary Clearing Margins will also be required for the Mini contract.
	The deposit amount is determined by multiplying 50% of the ordinary Price Limit by the Contract Unit Multiplier.
	Apart from the conditions specified above, if the Exchange deems it necessary for market management purposes, Extraordinary Clearing Margins may be separately imposed.

Customer Position Limit

	Non-commercials:
	All contract months combined = 10,000 contracts (for each long/short position)

	Commercials (*1):
	All contract months combined = 60,000 contracts (for each long/short position)

*1:	as defined by the Commodity Exchange Act and the Articles fo Incorporation
	("Those who, as their line of business, engage in the purchase, sale, intermediary of trades, brokerage or agency activity, production, processing or use of Listed Commodity Component Products (...)"

Loss Cut System

	For market participants with a lower tolerance for risk, customers now have the option to use the Loss Cut system.

	The purpose of the Loss Cut system is to try to prevent losses over a limit specified by each customer. Under the Loss Cut system, if a customer’s loss reached a certain limit specified by the customer, at a certain time, his positions will be offset by executing orders, based on the terms and conditions agreed upon by the customer and its Broker Member and in accordance with the said terms and conditions.