Description

NSE Clearing withdraws additional margins of 1% on Gold Futures and 4.50% on Silver Futures effective February 02, 2026.

Summary

NSE Clearing Limited has announced the withdrawal of additional margins on Gold and Silver Futures contracts effective February 02, 2026. The additional margin of 1% on all variants of Gold Futures and 4.50% on all variants of Silver Futures will be removed. This circular modifies previous circulars from October 29, 2025 and January 23, 2026.

Key Points

  • Additional margin of 1% on Gold Futures contracts (all variants) to be withdrawn
  • Additional margin of 4.50% on Silver Futures contracts (all variants) to be withdrawn
  • Modification of circular no. 0344/2025 dated October 29, 2025
  • Modification of circular no. 0036/2026 dated January 23, 2026
  • Applies to Commodity Derivatives Segment

Regulatory Changes

The withdrawal of additional margins represents a reversal of previously imposed risk mitigation measures. Members trading in gold and silver futures will benefit from reduced margin requirements, which were initially imposed to manage market volatility and risk exposure in precious metals contracts.

Compliance Requirements

  • All members of NSE Clearing Limited must take note of the margin withdrawal
  • Members should adjust their margin collection and risk management systems accordingly
  • Updated margin parameters must be implemented before market opening on February 02, 2026

Important Dates

  • Circular Date: February 01, 2026
  • Effective Date: February 02, 2026 - Additional margins withdrawn

Impact Assessment

Market Impact: The withdrawal of additional margins will reduce the capital requirements for traders and hedgers in gold and silver futures markets. This is expected to improve liquidity and trading volumes in precious metals derivatives.

Operational Impact: Members will need to update their margin calculation systems and reduce margin collection from clients trading in gold and silver futures. The reduced margins indicate NSE Clearing’s assessment that market conditions and volatility in precious metals have stabilized sufficiently to warrant lower risk buffers.

Financial Impact: Traders will have lower upfront capital requirements, potentially freeing up capital for other trading activities or reducing the cost of hedging operations for market participants using gold and silver futures.

Impact Justification

Reduces margin requirements for gold and silver futures traders, improving liquidity and reducing capital requirements. Impacts commodity derivatives segment participants.