Merino Wool Indicator Futures Contract

The JSE, in collaboration with Cape Wools SA is proud to bring the Merino Wool Indicator Futures Contract that will provide market participants with a tool for hedging against price risk. The contract will enable the Wool industry with an opportunity to better manage the price risk through the use of futures contracts. The contract is priced and traded in Rands per kilogram. In partnership with Cape Wools SA, the contract is cash-settled and references two-weeks of transactional data for a specific futures expiry. This contract is easily accessed via JSE commodity derivatives members​.

Who is this for?​

This product is often used by producers of wool and processors with an interest in protecting themselves against adverse price movements in the underlying physical or spot market. In addition to these two key groups of participants, co-operatives, trades, and financial institutions rely on the contracts to either extend fixed prices to their clients.​​​

​Features​

  • ​Secure, affordable and flexible.
  • Derivatives contracts enable institutions to fund producers who hedge their price risk. In so doing, sustainable production is encouraged
  • Provides a platform for price discovery and efficient price risk management for the Wool market​​
  • Transparent as trade takes place on an electronic platform.
  • All transactions are guaranteed through the derivatives clearing structure.
  • By nature, derivatives can be risky and should be not be tackled by novice investors. ​​​​​​

How to get it?​​

To access this product, register as a client with an authorised JSE Commodity Derivatives Trading Member, deposit the required initial margin and sell or buy according to your needs. ​​​​​


Disclaimer

All data and information provided by the JSE, except as otherwise indicated, is proprietary to the JSE. You may not copy, reproduce, ​​modify, reformat, download, store, distribute, publish or transmit any data and information, except for your personal use. For the avoidance of doubt, you may not develop or create any product that uses, is based on, or is developed in connection with any of the data and information available on this site. You are not permitted (except where you have been given express written permission by the JSE) to use the data and information for commercial gain

 Related Documents

 

 

13317C CDM - CWSA Market Indicator - Rules Description13317C CDM - CWSA Market Indicator - Rules Descriptionhttps://www.jse.co.za/content/JSEMarketNoticeItems/13317C CDM - CWSA Market Indicator - Rules Description.pdfpdf
Trading Calendar Merino Wool Indicator Futures ContractTrading Calendar Merino Wool Indicator Futures Contracthttps://www.jse.co.za/content/JSEContractSpecificationItems/Trading Calendar Merino Wool Indicator Futures Contract.pdfpdf
Merino Wool Indicator Futures ContractMerino Wool Indicator Futures Contracthttps://www.jse.co.za/content/JSEContractSpecificationItems/Merino Wool Indicator Futures Contract.pdfpdf

Contact Us
  • General enquiries

    Email: info@jse.co.za

    Tel: +27 11 520 7000
     
  • Commodities enquiries

    Email: Commodities

    Tel: +27 11 520 7039​​