How will the members of MCX trade, clear and settle the contracts?
The trading system of MCX is state-of-the-art, new generation trading platform that permits extremely cost effective operations at much greater efficiency. The Exchange Central System would be located in Mumbai which will maintain the Central Order Book. Exchange Members could be located anywhere in the country and would be connected to the central system through VSAT or any other mode of communication as may be decided by the Exchange from time to time. The controls in the system would be system driven requiring minimum human intervention. The Exchange Members would place orders through the Traders Work Station (TWS) of the Member linked to the Exchange which shall match on the Central System and send a confirmation back to the Member. All outstanding positions of the members would be marked to market at the end of the day and the differences would be received and paid in cash the next day. The members would be entitled to hold only to such outstanding quantity as their initial margin
