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DESCRIPTIONAbout MCX and its awereness to general public.
Take a Tour to our Mission
Presented by:Mukta chughSonali LachhaniKarishma ParabDishant NagraniDheeraj Ramchandani
Commodities- The Next big Investment Boom•Wheat in your Bread•Petrol In your Vehicle•Coffee on your Table•Sugar in your sweets•Chana in your chhole•Gold in your Necklace
………And so on……..
Commodities are everywhere
• Established in 2003 and is based in Mumbai
• Independent commodity exchange
• Average daily turnover of around 22000 CR
• Accredited with ISO 9001:2000 for quality standards
• Joint ventures with National Spot Exchange and National Bulk Handling Corporation (NBHC)
• MCX currently facilitates trading of 59 commodities
• Key Promoters –
• Financial Technologies (India) Ltd, State Bank of
India, Union Bank
• Corporation Bank, Bank of India, Canara Bank, State
Bank of Indore, Bank of Baroda
MCX Achievements• It is regulated by the Forward Markets Commission.• MCX is India's No. 1 commodity exchange with 83% market share
in 2009• Competitor is National Commodity & Derivatives Exchange Ltd • Globally, MCX ranks No. 1 in silver, No. 2 in natural gas, No. 3 in crude oil and gold in futures trading• The highest traded item is gold.• MCX has several strategic alliances with leading exchanges across
the globe• MCX now reaches out to about 800 cities and towns in India with
the help of about 126,000 trading terminals
Key Differentiators of MCX
Team Technology Techniques
Best industry professionals Risk management Systems Provide information-
Best Support Agencies and controls. Spot & international
Best intermediaries markets.
MCX v/s Other Bullion Exchanges
(Approx. figs.) MCX NYMEX TOCOM
Contract Size (grams) 1000 3110 1000
Benchmark Market Mumbai New York Tokyo
Operational Cost Low High High
Transaction cost 0.01 % 0.08 – 0.1 % 0.4 %
Lead Transaction Time Low High High
Physical Delivery Yes No No
Why Trade in commodities and specifically through MCX?
o Less Price riskoDiversification o Trading Marginso No transportation chargeso Why invite risk by investing in a metal company when you can trade in the metal itself
Common Man : WeddingAssume that on September 30th,2011 John fixed his daughter Christina’s wedding to be on May 6th2012, and that he plans to buy 200 g gold as jewelry.
Mr. John’s choices
Hope Prices falls before Marriage Buy 200g Gold now Buy 2 mini Gold MCX futures @ 2750/g
•Block over 5.5 lacs (at present level).
•Risk the possibility of a price fall later.
•Block only less than 50,000 as margin amt (at present prices)
•Invest the rest of 5 lacs in bank or other safe assets for 1 month.
•Hold the gold in demat form, maintain MTM.
P/L scenario @ End of April 2012 for MCX Gold purchase @2750
Time April 2012 Price@ 2900/g April 2012 Price@ 2650/g
Profit / Loss Rs.20,000 profit from futures + Rs.26600 interest gain (8%)
Rs. 20,000 loss from futures + Rs. 26600 interest gain
Conclusion Buy jewelry at high Oct prices, (and more with the
John avoids the high priced buy in Dec. Would be able to
buy Jewelry at lower April prices.
Astro Commodity trading: Totally New Approach To Reach Your Goal ! Yes It works !
• About Sudarshan tips
• Provide Trading calls
• Daily Trading Calls by SMS on your mobile
• Calls based on advanced technical analysis and research.
1. Copper sell call
2. Nickel sell call
3. Silver buy call
4. Crude oil sell call
“ALL TARGETS ACHIEVED SUCCESSFULLY”
Introducing Weather as a commodity• Weather derivatives are financial instruments that
can be used by organizations or individuals as part of a risk management strategy to reduce risk associated with adverse or unexpected weather conditions such as rain, temperature and snow• Uses: Farmers Plantation companiesTheme parksSports event managing company.