FCA Updates Webpage on MiFID II Position Limits for Commodity Derivative Contracts


On October 22, the UK Financial Conduct Authority (FCA) updated its webpage for bespoke position limits set for a number of commodity derivatives traded on UK trading venues, namely contracts traded on ICE Futures in the United Kingdom.

Following ICE Futures’ recent update of its range of products, the FCA has made the following amendments to its webpage:

  1. under the FCA’s data for bespoke contracts, Gasoil Diff – Singapore Gasoil (Platts) vs Singapore Gasoil 0.05% (Platts) Future, now has an aggregating contract;
  2. the FCA’s data for bespoke contracts also includes a new contract launched by ICE Futures on October 22, based on Permian WTI oil, but the limit for the venue product code (VPC) of HOU, has a limit set as “TBA.” This indicates that the FCA will set a specific numerical limit at a point in the future to be advised when the contract has developed sufficient maturity to accurately apply the position limit setting methodology of the European Securities and Markets Authority (ESMA); and
  3. in the FCA’s table of de minimis aggregated contracts, two new contracts have been added: TD19 Cross Med (Ceyhan to Lavera) (Baltic) Future and TD9 FFA – Caribbean to US Gulf (Baltic) Future.

Additionally, the FCA is reviewing the spot month limit it has published for ICE Futures Natural Gas due to a discrepancy with ESMA’s published limit. The FCA believes that this is a simple typographical mistake, and it will make an appropriate adjustment, which will apply from that point.

The FCA also has updated its spreadsheet listing the full aggregation of all possible VPCs for the purpose of monitoring position limits.

The FCA’s webpage on position limits for commodity derivative contracts is available here.

The FCA’s spreadsheet of full aggregation of all possible VPCs is downloadable here.



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