Description

ICCL continues additional margin requirements during tender period for Gold and Silver contracts expiring in November-December 2025, with 4.5% margin for Silver and 1% for Gold variants.

Summary

Indian Clearing Corporation Limited (ICCL) has issued a continuation notice regarding additional margin requirements for Gold and Silver commodity derivative contracts during their tender periods. This circular follows the earlier notification dated October 29, 2025, and maintains the existing additional margin structure as part of periodic risk management review to mitigate systemic risk.

Key Points

  • Additional margins will continue to be levied on Gold and Silver contracts during their respective tender periods
  • Silver contracts (SILVERKG, SILVERM with November 28, 2025 expiry and SILVER with December 5, 2025 expiry) will have 4.5% additional margin during tender period
  • Gold contracts (GOLD and GOLDM with December 5, 2025 expiry) will have 1% additional margin during tender period
  • This is a continuation of measures announced in ICCL circular no. 20251029-28 dated October 29, 2025
  • The margins are imposed to ensure adequate risk management and mitigate systemic risk

Regulatory Changes

No new regulatory changes introduced. This circular confirms the continuation of additional margin requirements previously announced in October 2025 for the specified contract expiries during their tender periods.

Compliance Requirements

  • All clearing members and participants must maintain the specified additional margins during the tender period for affected contracts
  • Members must ensure adequate funds/collateral to meet the enhanced margin requirements
  • SILVERKG, SILVERM (expiry: November 28, 2025): 4.5% additional margin
  • SILVER (expiry: December 5, 2025): 4.5% additional margin
  • GOLD, GOLDM (expiry: December 5, 2025): 1% additional margin

Important Dates

  • November 28, 2025: Expiry date for SILVERKG and SILVERM contracts (4.5% additional margin applies during tender period)
  • December 5, 2025: Expiry date for SILVER, GOLD, and GOLDM contracts (4.5% for Silver, 1% for Gold additional margins apply during tender period)
  • Circular Date: November 24, 2025
  • Reference Circular: ICCL circular no. 20251029-28 dated October 29, 2025

Impact Assessment

Market Impact: Moderate impact on commodity derivatives traders dealing in Gold and Silver contracts. The continued additional margin requirements increase the capital commitment needed for positions in these contracts during tender periods.

Operational Impact: Clearing members must ensure adequate margin funding arrangements are in place for clients holding positions in the specified Gold and Silver contracts. The higher margin for Silver (4.5%) compared to Gold (1%) reflects relative risk assessments.

Risk Management: The continuation of additional margins demonstrates ICCL’s ongoing focus on systemic risk mitigation in commodity derivatives, particularly for precious metals during delivery periods when volatility may increase.

Contact Information: Risk Department can be reached at risk.monitoring@icclindia.com or +91-22-2272 8811/8902 for queries.

Impact Justification

Continuation of existing additional margin policy for Gold and Silver derivatives during tender period affects commodity traders' margin requirements but represents no policy change from October circular.