TAIFEX to Launch Mini Contracts for Gold and Non-Tech Electronics Futures, Effective July
Taiwan Futures Exchange (TAIFEX) announced plans to reduce contract sizes for gold-related products and Non-Tech Electronics futures, and expand the strike price range for gold options, to enhance trading flexibility and capital efficiency. The changes are expected to take effect in early July 2025.
📋 Article Processing Timeline
- 📰 Published: June 12, 2026 at 16:16
- 🔍 Collected: June 12, 2026 at 16:30 (14 min after Published)
- 🤖 AI Analyzed: June 12, 2026 at 16:32 (1 min after Collected)
(Central News Agency, reporter Zhong Rongfeng, Taipei, June 12) Taiwan Futures Exchange (TAIFEX) announced today that, in response to fluctuations in international gold prices and heightened volatility in the Taiwan stock market at high levels, it plans to reduce the contract sizes of gold-related products and Non-Tech Electronics futures, and expand the coverage of strike price series for gold options. This aims to enhance trading flexibility and capital efficiency. The relevant plans and regulatory amendments have been approved by the competent authority and are expected to be implemented in early July.
TAIFEX stated in a press release that the contract sizes for USD Gold Futures and TWD Gold Futures will be reduced to one-tenth of their current size, adjusted to 1 troy ounce and 1 tai tael, respectively. The Non-Tech Electronics Futures contract size will also be reduced to one-tenth, adjusted to NT$10 per index point. The contract size for Gold Options will be reduced to one-fifth, adjusted to 1 tai tael.
TAIFEX explained that reducing contract sizes significantly lowers the trading amount per contract, allowing traders to break down large positions into smaller units. This reduces the timing risk of entering or exiting the market in a single transaction, maintains flexibility for position adjustments based on market conditions, and improves capital efficiency.
TAIFEX pointed out that the strike price series for Gold Options will be expanded from 5 series above and below the at-the-money price to 15 series for the nearest contract month and 10 series for other contract months, providing a more complete selection of out-of-the-money contracts.
TAIFEX gave an example: if a trader expects significant volatility in gold prices after the release of important U.S. economic data, they can participate in the gold price movement by simultaneously buying out-of-the-money call and put options. (Editor: Zhang Liangzhi) 1150612
TAIFEX stated in a press release that the contract sizes for USD Gold Futures and TWD Gold Futures will be reduced to one-tenth of their current size, adjusted to 1 troy ounce and 1 tai tael, respectively. The Non-Tech Electronics Futures contract size will also be reduced to one-tenth, adjusted to NT$10 per index point. The contract size for Gold Options will be reduced to one-fifth, adjusted to 1 tai tael.
TAIFEX explained that reducing contract sizes significantly lowers the trading amount per contract, allowing traders to break down large positions into smaller units. This reduces the timing risk of entering or exiting the market in a single transaction, maintains flexibility for position adjustments based on market conditions, and improves capital efficiency.
TAIFEX pointed out that the strike price series for Gold Options will be expanded from 5 series above and below the at-the-money price to 15 series for the nearest contract month and 10 series for other contract months, providing a more complete selection of out-of-the-money contracts.
TAIFEX gave an example: if a trader expects significant volatility in gold prices after the release of important U.S. economic data, they can participate in the gold price movement by simultaneously buying out-of-the-money call and put options. (Editor: Zhang Liangzhi) 1150612
FAQ
What is the main purpose of this contract size change?
To lower the barrier to entry, encourage retail participation, and increase market liquidity.
When will the changes take effect?
They are expected to be implemented in early July 2025.
Which products are affected?
USD Gold Futures, TWD Gold Futures, Non-Tech Electronics Futures, and Gold Options.