The clearing and settlement system of the exchange gives protection against the risk of default. Futures contracts help the contracting parties hedge against price risks, thus leveling income streams for producers and buyers. Settlements are done either by physical delivery of the commodity or cash settlement on the basis of the condition specified in the contract. The commodity and the contract size are chosen with accompanying details of expiry, settlement types, and more available in the NCDEX live rate listings.. An individual has to open both a trading and a Demat account to carry out commodity contracts. Copyright © 2025