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Bursa Malaysia Derivatives (BMD) offers 3 categories of derivatives: Commodity Derivatives, Equity Derivatives and Financial Derivatives.

USD RBD Palm Olein Futures (FPOL)

Commodity Derivatives

To Access BMD product prices / code on CME GLOBEX® Electronic Trading Platform

Example:

Accessing BMD product prices / code on CME GLOBEX Electronic Trading Platform
FGLD: BMD\FGLD\OCT14
Please type BMD\FGLD\relevant contract month code
FKLI: BMD\FKLI\Dec14
Please type BMD\FKLI\relevant contract month code
FCPO: BMD\FCPO\MAR15
Please type BMD\FCPO\relevant contract month code
FPOL: BMD\FPOL\MAR15
Please type BMD\FPOL\relevant contract month code
KLIBOR: BMD\FKB3\MAR15
Please type BMD\FKB3\relevant contract month code
3 YRS BOND: BMD\FMG3\MAR15
Please type BMD\FMG3\relevant contract month code
5 YRS BOND: BMD\FMG5\MAR15
Please type BMD\FMG5\relevant contract month code
OKLI: BMD\OKLI\DEC14
Please type BMD\OKLI\relevant contract month code

Education

Learn more about Derivatives

USD RBD Palm Olein Futures (FPOL)

FPOL Banner
 

Ticker Code

  • Bloomberg: FPOA Comdty CT (Go)
  • Thomson Reuters: <1FPOL> + <Month  
     Code> + <Year Code>
     Example: <1FPOLU4> SEP14 contract
  • Interactive Data: F:FPOL\MYY, where M is month code and YY is year number
    Example: F:FPOL\U14 ; SEP14 contract

Resources for Download

Brochure
English | Chinese
23 KB | 102 KB

Traceability Document
English
0.01 KB

Alternative Delivery Notice
English
0.18 KB

Acceptance Notice
English
0.257 KB

Delivery Notice
English
0.257 KB

Get Started

  • Contact our Brokers to know more.

What is FPOL?

FPOL is a Free on Board (FOB) physically delivered US Dollar (“USD”) denominated Refined, Bleached and Deodorised (RBD) Palm Olein Futures contract traded on Bursa Malaysia Derivatives (BMD).

As a listed derivatives on BMD, FPOL will provide a transparent price discovery on a regulated trading environment. Traders and consumers can now hedge against Palm Oil adverse price movement with confidence as BMD Clearing House guarantees the performance of all trades. Refiners can also use FPOL to manage the refining margin between Crude Palm Oil against RBD Palm Olein.

Why FPOL can be a good hedging instrument?

Manage RBD Palm Olein Price Risk

End users and importers can use FPOL to manage risk and hedge against the risk of unfavourable price movement in the physical market

Manage Palm Refining Margin

Refiners can use FPOL to manage their refining margins. Together with FCPO, refiners can now lock in their refining margins in paper. This can be achieved with going long on FCPO and short on FPOL.

Exposure to RBD Palm Olein Price Movements

Traders can use FPOL to gain leveraged exposure to movements in RBD Palm Olein prices.

Gain immediate exposure to commodity market

Via FPOL, global fund managers, commodity trading advisers and proprietary traders are able to gain exposure to one of the largest edible oil in the world

 

 

 

Contract Specification

(FPOL)
Contract CodeFPOL
Underlying Instrument RBD Palm Olein
Settlement Method FOB Physical Delivery at PK / PG with multiple size of 500MT. Others will be cash settled against the Final Settlement
Contract Size 25 metric tons
Price Quotation US$ per metric ton
Minimum Price Fluctuation US$0.50 per metric ton
Contract Months Spot month and the next 5 succeeding months, and thereafter, alternate months up to 24 months ahead.
Trading Hours

Monday to Friday
Trading Sessions: (Malaysian Time)
0900 - 1200 hours
1330 - 1800 hours

Business Day:
Follows KL Business Days

Daily Price Limit

With the exception of trades in the current delivery month, trades for future delivery of Crude Palm Oil in any month, must not be made, during any 1 Business Day, at prices varying more than 10% above or below the settlement prices of the preceding Business Day (“the 10% Limit”) except as provided below:

  • When the 10% Limit is triggered (except for the current month), the Exchange will announce a 10-minute cooling off period (“the Cooling Off Period”) for Contracts of all contract months (except the current delivery month) during which trading may only take place within the 10% Limit.
  • Following the Cooling Off Period, Contracts of all contract months will be specified as reserved for a period of 5 minutes, after which the price limit will be expanded to 15%. The prices traded for Contracts of all contract months (except the current month) must then not vary more than 15% above or below the settlement prices of the preceding Business Day (“the 15% Limit”).
  • If the 10% Limit is triggered less than 30 minutes before the end of the first trading session, the 10% Limit will apply to Contracts of all contract months (except the current month) for the rest of the first trading session and the 15% Limit will apply to Contracts of all contract months (except the current month) during the second trading session.
  • If the 10% Limit is triggered less than 30 minutes before the end of the second trading session, the 10% Limit will apply to Contracts of all contract months (except the current month) for the rest of the Business Day.
Final Trading Day 25th Calendar Day, 2 months prior to delivery month. If 25th is a holiday it will be the preceding day. For example, a June delivery contract will expire on 25th April. Please refer to FOB and ADP delivery mechanism as mentioned above.
Contract Grade and Delivery Points RBD Palm Olein of good merchantable quality physically delivered FOB at Port Klang and Pasir Gudang.
(FPOL)
Specification  
FFA 0.10%
M&I 0.10%
I.V 56 min
Melting Point 24 max
Colour (5 ¼ Lovibond Cell) 3 Red max
Speculative Position Limit The maximum number of net long or net short positions which a client or a participant may hold or control is:
  • 800 contracts for the spot month
  • 10,000 contracts for any one contract month except for spot month
  • 15,000 contracts for all months combined.
Minimum Deliverable Size Multiple of 20 Contracts or 500 MT. All other remaining contracts will be cash settled against the Final Settlement.