Position limits

Position limits

Applies to derivative products. Maximum position available in any one future or option contract for a given institution. For "bona fide" futures hedgers, there are no position limits.

Position Limit

In futures on foreign exchange, the largest position (either long or short) that an investor is permitted by his/her employer to take.
References in periodicals archive ?
In MultiBroker, separate pre-execution margin, credit and position limits are maintained by each broker while buy-side users have a single integrated view of positions and P/L across all brokers.
The European Securities and Markets Authority (ESMA), together with the national competent authorities (NCAs), have today published an updated work plan for the opinions on pre-trade transparency waivers and position limits that must be issued under the Markets in Financial Instruments Directive (MiFID II) and Regulation (MiFIR).
I believe it is critically important that these position limits be established as Congress required.
Regarding a stricter framework for the derivatives market, the draft compromise foresees a number of measures, including the mandatory introduction of mandatory position limits.
The move comes as the US Commodity Futures Trading Commission has been seeking to set position limits on the number of commodities contracts that financial investors can own, which could leave some exchange-traded products at the risk of violating such regulations.
In particular, market regulators should have and use formal position management powers, among other powers of intervention, including the power to set ex-ante position limits, as appropriate," says the statement issued at the conclusion of the summit.
Enhancing Price Discovery and Transparency - how to improve this to the public and regulators through the publication of open interest according to certain categories of traders, the establishment of formalised systems to allow regulators to impose position limits and the promotion of the reporting of OTC derivatives to trade repositories.
LONDON: The oil industry is bracing itself for new regulation, welcoming moves to prevent market abuse, but tighter position limits could stifle liquidity and bring greater price volatility.
13, proposed hard position limits on the commodity futures, options and swaps positions of speculators, saying it aimed to reduce excessive speculation and prevent market manipulation.
French Farm Ministry sources said last month Paris will propose including position limits, identifying commodity players as either speculative or commercial, and seeking a framework to record over-the-counter trades.
While an order is being traded, brokers should check for favourable and adverse price moves, position limits and cumulative credit and capital checks.
POSITION LIMITS At the conference Dacian Ciolos, said he wanted the EU executive's plan to specifically include the issue of position limits on futures markets.

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