YLG BULLION AND FUTURES

Exchange for physical gold at a special price
at participating gold shops when Gold Futures contract ends

Highlight specifications of YLG BULLION AND FUTURES

This service is another option for investors, gold shop entrepreneurs, or those with future demand for gold to be able to use TFEX gold futures trading mechanism to set buying or selling gold in advance. Investors are not required to pay in full or immediately deliver gold on the date of transaction but instead can exchange for physical gold at the gold trading company later, increasing flexibility for investors to better manage gold trading/exchange or diversification.

Gold futures traders who are interested in this service can contact YLG Bullion and Futures Co., Ltd. before the contract is due to expire. Easy steps to use the service are as follows:

  • Tender for buying or selling gold. The minimum weight for exchange is 10 baht but does not exceed the amount held in gold futures.
  • Present documents of gold future transactions in TFEX.
  • Pay margin for using gold trader’s service at THB 30,000 per exchange of 10 baht of gold or THB 150,000 per exchange of 50 baht of gold within 12:00 hrs. of the last trading day of gold futures and 4)

Settle the outstanding balance or full delivery of gold within 2 business days after the contract expires.

Trading price under this service is based on final settlement price of gold futures contract due to expire in a certain month. The standard of fees is as follows: THB +50 per 1 baht of gold for the gold futures buyer and THB -150 per 1 baht of gold for the gold futures seller. This service can be used for gold futures contracts due to expire in August 2014 onwards for both 50 baht contract size (GFQ14) and 10 baht contract size (GF10Q14).

Trading price under this service is based on final settlement price of gold futures contract due to expire in a certain month. The standard of fees is as follows: THB +50 per 1 baht of gold for the gold futures buyer and THB -150 per 1 baht of gold for the gold futures seller. This service can be used for gold futures contracts due to expire in August 2014 onwards for both 50 baht contract size (GFQ14) and 10 baht contract size (GF10Q14).

Trading price under this service is based on final settlement price of gold futures contract due to expire in a certain month. The standard of fees is as follows: THB +50 per 1 baht of gold for the gold futures buyer and THB -150 per 1 baht of gold for the gold futures seller. This service can be used for gold futures contracts due to expire in August 2014 onwards for both 50 baht contract size (GFQ14) and 10 baht contract size (GF10Q14).

3 Easy steps to use the service

Trade

Gold

Notify

the gold shop and present Gold Futures transaction documents and transfer margin before 12.00 hrs. of the last trading day of Gold Futures.

Exchange

for gold within 2 business days after the last trading day of Gold Futures contract.

Details

Type of gold

96.5 %
gold bars with the minimum weight of 10 baht

10 baht
from participating gold shops

Margin

Margin rates for gold shop service are as follows:

THB 30,000
for exchange of 10 baht of gold and

THB 150,000
for exchange of 50 baht of gold. The margin should be transferred within 12.00 hrs. of the last trading day of Gold Futures to the account specified by the gold shop.

Gold exchange price

Use final settlement price of Gold Futures + fees. The exchange fee rates are as followed.

For Gold Futures buyers
THB +50 per 1 baht of gold

For the gold futures seller
THB -150 per 1 baht of gold

Other information

Date, time, and location for notifications or documents

From 12.00 hrs. of the business day preceding the last trading day of Gold Futures to 12.00 hrs. of the last trading day of Gold Futures due to expire in a certain month at the office/ branch specified by the gold shop.

Date, time, and location for gold exchange

Gold exchange within 2 business days after the last trading day of Gold Futures due to expire in a certain month at the office/branch specified by the gold shop by 17.00 hrs.

Notification of service cancellation

  • Before 12.00 hrs. of the last trading day of Gold Futures, a THB 50 charge per 1 baht of gold applies.
  • From 12.00 to 16.30 hrs. of the last trading day of Gold Futures, a THB 100 charge per 1 baht of gold applies.
  • After 16.30 hrs. of the last trading day of Gold Futures until 17.00 hrs. of 5 business days after the last trading day of Gold Futures, a THB 1,000 charge per 1 baht of gold applies.
  • After 17.00 hrs. of 5 business days after the last trading day of Gold Futures, margin will not be refunded.

Remarks

Gold shops reserve the right to change fee rates in case of volatile gold prices or deliver gold in more than two working days after the last trading day of the contract in case of gold supply shortage. Changes will be announced in advance on TFEX website before 12. 00 hrs. of a business day preceding the last trading day of Gold Futures due to expire in a certain month. If the person who notifies their intention does not make any gold transaction (delivery or payment) by 17.00 hrs. of the second business day after the last trading day of Gold Futures contract, the gold shop may charge THB 10 per 1 baht of gold per day by deducting this amount from the margin. If the person who notifies their intention wants to cancel the service, the gold shop may charge by deducting a certain amount from the margin or not refunding the margin, as shown in the following diagram.

Diagram of steps and conditions of using services
at participating gold shops

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