Clearing Members (CMs)

Clearing members shall own the Exchange membership as well as recorded to the Clearing house department and thereby participate directly in both the trading and clearing processes. Clearing members shall play the role of market makers by accepting the risk of holding any of the traded commodities in order to facilitate trading in those commodities. They shall also meet all financial requirements related to trading, clearing and settlement on day-to-day basis.

Clearing Membership is restricted to institutions. They may not lease or rent out their membership to anyone else.

Non-Clearing Members (NCMs)

Non-clearing members hold direct participation in trading with the clearing process being facilitated by a clearing member. Non-Clearing Membership shall be open to Individual Investors, Professionals and Institutions. They may lease or rent their membership, on meeting certain Exchange requirements.

Individual:

• Individual Investors shall be eligible to trade only for themselves and not on behalf of others.

Professionals:

• Professionals shall be eligible to trade for themselves as well as for corporations. They are entitled to some special privileges based on the Exchange regulations.

Institutions:

• Institutions shall have the privilege of trading for themselves as well as on behalf of their Clients.

Transaction Cost

The transaction cost is the crucial part that every investor consider while trading. They especially trade for making money and if their transaction cost is more than what they earn then there will be less incentive to trade. Notwithstanding the distinctive advantages MEX Madagascar offers to its customers, it has not lost sight of the need to provide Membership as well as trading, clearing and settlement facilities at lowest possible cost. To this end, the exchange has not only acquired technology at lowest cost going by global standards, but has also put in place effective cost cutting strategies to minimize non-capital expenditure.