DGCX – Dubai Gold & Commodities Exchange.
Leading Exchange in MENA region!
The Dubai Gold & Commodities Exchange (DGCX) is the largest and most diversified derivatives Exchange in the Middle East.
CFB is the key broker and clearing member of the Dubai Gold and Commodities Exchange (DGCX) since 2006. DGCX’s range of futures contracts offers participants of the physical commodities markets, such as producers, manufacturers and end users, with a sophisticated means of hedging their price risk exposure. Such price risk management has previously been unavailable to producers in the Middle East. In addition, DGCX offers trading opportunities to financial communities and investment houses in both the Middle East and around the globe who wish to access the growing asset class of commodity and currency derivatives.
- Guaranteed settlement and reduced counterparty risk provided by Dubai Commodities Clearing Corporation (DCCC), a subsidiary 100% owned by DGCX
- The advantage of transacting and clearing business within the UAE and thus the local taxation and regulatory regimes
- A simple fee structure – one fee for all participants. All participants also pay the same margin, whether commercial or non-commercial entities
- An opening to both regional and international liquidity pools
- Robust risk management and surveillance systems
- Uninterrupted trading hours from 7:00am – 11:55pm (GMT +4)
- Regulated by the Securities & Commodities Authority (SCA)
The UAE enjoys an ideal location between the time zones of Europe and the Far East and DGCX offers a range of products from the precious metal, base metal, energy and currency sectors.
A PIONEER IN THE REGION
DGCX has many firsts to its credit. The DGCX gold futures, when launched in 2005, introduced a new pricing benchmark for gold in the UAE – the One-kilo bar gold futures contract which went on to attract considerable interest from gold traders not only in Dubai but also from Asian hubs like Singapore.
In 2007, DGCX launched the world’s first Rupee futures contract, which became a remarkable success story driven by demand from the GCC’s five million non-resident Indian community. Since being enhanced in 2008 to make it cash-settled, the product has notched consistent record volumes.
DGCX’s other pioneering products include the world’s first steel rebar futures contract; the region’s first Copper Futures contract, and the region’s first WTI and Brent Oil futures contracts. DGCX also has a healthy portfolio of currency futures contracts including Australian Dollar, Canadian Dollar, Swiss Franc, Euro, British pound, Japanese Yen and Indian Rupee futures.
GATEWAY TO ALTERNATE MARKETS IN THE EAST
Dubai’s location in a time zone midway between the Far East and Europe has traditionally made it an attractive hub for accessing the larger market surrounding it. The city’s strategic geographic location has allowed DGCX to offer extended trading hours to global traders and integrate regional and international trading. In fact, DGCX is increasingly serving as a bridge between the time zones of the Far East and Europe, contributing to the smooth flow of the global trading cycle, especially during the gap between the closing of the Far East markets and the opening of European markets.
DGCX recently extended its trading hours by an hour and a half to provide market participants a 30-minute window before the opening of derivatives exchanges in South Asia, which allow them to take positions based on overnight indicators, putting them ahead of the momentum curve.
BENEFITS OF TRADING ON DGCX
Guaranteed settlement and reduced counterparty risk provided by Dubai Commodities Clearing Corporation (DCCC), a subsidiary 100% owned by DGCX
The advantage of transacting and clearing business within the UAE and thus the local taxation and regulatory regimes
A simple fee structure
An opening to both regional and international liquidity pools
Robust risk management and surveillance systems
Uninterrupted trading hours from 7:00am – 11:30pm (GMT +4)
Regulated by the Securities & Commodities Authority (SCA)