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Part I. (5 marks) Suppose you are an investor that you will purchase (sell) X contracts SF302 G (MT30 February 2022) with the open price
Part I. (5 marks) Suppose you are an investor that you will purchase (sell) X contracts SF302 G (MT30 February 2022) with the open price of 13/02/2022. Each contract is for the delivery of 100 MT30 units. The initial margin () is 19000 SR per contract with a house minimum maintenance requirement of 35%. The call margin () is calculated when the security margin become less than 6650 SR. Complete the following Table using the daily settlement prices (l) then the final settlement price in tadawul.com. Notes 1/X is the last number of your student number. If this number zero takes the number before that is different to zero. Example: 437866265: X-5; 437886620: X=2; 437895600: X=6. 2/ If there is not an open price for 13/02/2022, use the daily settlement price for 10/02/2022. 3/You can use Excel's to create tables. A. Purchased X Contracts Day of February 13/02/2022* 13/02/2022 14/02/2022 15/02/2022 16/02/2022 Futures Prices Quantity Total Maintenance Cumulative Sold of Margin Call sold Futures (SAR) Margin (SAR) Gain/Loss (SAR) investor (SAR) (SAR) 17/02/2022 Buy with the open futures price at 13/02/2022, if there is not an open price use the settlement price for 10/02/2022. On 13/02/2022, we suppose that you are a short seller of the same quantity of MT30 index from Tadawul. Calculate your net profit from the futures and spot market at 17/02/2022. Date 13/02/2022 17/02/2022 Spot Market Sell (open price) Buy (closed price) PROFIT Futures (settlement price) BUY (open price) SELL (final settlement price) Net PROFIT Profit B. Sold X Contracts Day of Futures Quantity Total Maintenance Cumulative Sold of February Prices Purchased Margin Gain/Loss investor Futures (SAR) (SAR) (SAR) (SAR) 13/02/2022* 13/02/2022 14/02/2022 15/02/2022 16/02/2022 Margin Call (SAR) 17/02/2022 *Sell with the open futures price at 13/02/2022, if there is not an open price use the settlement price for 10/02/2022. On 13/02/2022, we suppose that you purchase the same quantity of MT30 index from Tadawul. Calculate your net profit from the futures and spot markets on 17/02/2022. Date Spot Market BUY (open price) Futures Net SELL (dosed PROFIT SELL price) pricel BUY (final settlement price) PROFIT Profit 13/02/2022 17/02/2022
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