{"id":1022389,"date":"2023-07-24T11:02:33","date_gmt":"2023-07-24T11:02:33","guid":{"rendered":"https:\/\/fmdqgroup.com\/exchange\/?page_id=1022389"},"modified":"2025-03-03T14:32:35","modified_gmt":"2025-03-03T14:32:35","slug":"otc-derivatives","status":"publish","type":"page","link":"https:\/\/fmdqgroup.com\/exchange\/otc-derivatives\/","title":{"rendered":"OTC Derivatives"},"content":{"rendered":"

Cleared Naira-Settled Non-Deliverable Forwards (\u201cCleared USD\/NGN NDFs\u201d)<\/strong><\/h1>\n

The Cleared Naira-Settled Non-Deliverable Forwards product was introduced in 2016, with the Central Bank of Nigeria as the pioneer seller of the Cleared USD\/NGN NDFs\u00a0contracts. The apex bank currently offers non-standardised amounts for different tenors, from thirteen (13) months through to sixty (60) months to Authorised Dealers, who in turn offer same to customers with trade-backed transactions or trade same with other Authorised Dealers; settling on bespoke maturity dates.<\/p>\n

Cleared Naira-Settled Non-Deliverable Forwards are non-deliverable Forwards (i.e. contracts where parties agree to an exchange rate for a predetermined date in the future, without the obligation to deliver the underlying US Dollar (notional amount) on the maturity\/settlement date). Upon maturity, both parties are assumed to have transacted at the Spot FX market rate. Cleared USD\/NGN NDFs contracts are cash-settled in Naira and the differential between the contract rate and the NAFEX (Nigerian Autonomous Foreign Exchange Fixing) rate on the maturity day determines the settlement amount, i.e. the gain\/loss inherent in the contract.<\/p>\n

For more information on the Cleared Naira-Settled Non-Deliverable Forwards products, kindly refer to relevant documentation provided via the links in the table below:<\/p>\n

\t\t\t\t\t\t\t\t\t\t\t\tProduct Information<\/a>
\n\t\t\t\t\t <\/p>\n\n\n\n\n\n\n\n
Title<\/th>\nSize<\/th>\nDownload<\/th>\n<\/tr>\n<\/thead>\n
Description of Cleared Naira-Settled Non-Deliverable Forwards Market Architecture Documentation <\/a><\/td>\n241.88 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
How the Cleared Naira-Settled Non-Deliverable Forwards Market Works on FMDQ Securities Exchange Limited <\/a><\/td>\n410.72 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
Cleared Naira-Settled NDFs Open Contracts February 25, 2025 <\/a><\/td>\n180.76 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

\t\t\t\t\t\t\t\t\t\t\t\tMarket Regulation and Requirements<\/a>
\n\t\t\t\t\t <\/p>\n\n\n\n\n\n\n
Title<\/th>\nSize<\/th>\nDownload<\/th>\n<\/tr>\n<\/thead>\n
OTC FX Futures Market Operational Standards <\/a><\/td>\n327.02 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
Operational Modalities of the Naira Settled OTC FX Futures Market <\/a><\/td>\n311.30 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

\t\t\t\t\t\t\t\t\t\t\t\tFramework and Methodology<\/a>
\n\t\t\t\t\t <\/p>\n\n\n\n\n\n\n\n
Title<\/th>\nSize<\/th>\nDownload<\/th>\n<\/tr>\n<\/thead>\n
Cleared Naira-Settled Non-Deliverable Forwards Market Close-Out Methodology <\/a><\/td>\n341.68 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
Cleared Naira-Settled Non-Deliverable Forwards Market Framework <\/a><\/td>\n576.30 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
FMDQ Cleared Naira-Settled Non-Deliverable Forwards Closing Rate Methodology <\/a><\/td>\n366.18 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

\t\t\t\t\t\t\t\t\t\t\t\tRisk Management Documentation<\/a>
\n\t\t\t\t\t <\/p>\n\n\n\n\n\n\n
Title<\/th>\nSize<\/th>\nDownload<\/th>\n<\/tr>\n<\/thead>\n
Initial-Margin-Rates-for-Naira-settled-OTC-FX-Futures-Contracts <\/a><\/td>\n116.27 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n
Naira-Settled Non-Deliverable Forwards (NDFs) Settlement Calendar <\/a><\/td>\n156.29 KB<\/td>\n Download<\/a>Preview <\/a> <\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Other OTC Derivatives \u2013 FMDQ Exchange also provides relevant platform for the reporting of other OTC derivatives such as FX Forward, FX Swaps and other derivatives.<\/p>\n

For more data and information on OTC Derivatives products traded\/reported on FMDQ Exchange, kindly follow the link to our data and information portal https:\/\/emarkets.fmdqgroup.com<\/a>\u00a0or contact our\u00a0Derivatives Business Group<\/a> for more information.<\/p>\n","protected":false},"excerpt":{"rendered":"

Cleared Naira-Settled Non-Deliverable Forwards (\u201cCleared USD\/NGN NDFs\u201d) The Cleared Naira-Settled Non-Deliverable Forwards product was introduced in 2016, with the Central Bank of Nigeria as the pioneer seller of the Cleared USD\/NGN NDFs\u00a0contracts. The apex bank currently offers non-standardised amounts for different tenors, from thirteen (13) months through to sixty (60) months to Authorised Dealers, who […]<\/p>\n","protected":false},"author":5,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"site-sidebar-layout":"no-sidebar","site-content-layout":"page-builder","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"disabled","ast-breadcrumbs-content":"","ast-featured-img":"disabled","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"class_list":["post-1022389","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/pages\/1022389","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/comments?post=1022389"}],"version-history":[{"count":3,"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/pages\/1022389\/revisions"}],"predecessor-version":[{"id":1074410,"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/pages\/1022389\/revisions\/1074410"}],"wp:attachment":[{"href":"https:\/\/fmdqgroup.com\/exchange\/wp-json\/wp\/v2\/media?parent=1022389"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}