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At what price is the GSL Level set?

April 26, 2017GSL level price

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At what price is the GSL Level set?

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Once accepted, a GSL is a binding commitment to Close-Out a CFD at a specified price (the “GSL Level”). When placing a GSL Order, the investor specifies; • the term required for their GSL – currently either 1 or 3 months; and • the GSL Percentage (the percentage away from the price of the underlying security where they want their GSL protection to take effect) – currently a minimum of 1%. The GSL Level is finalised and set in dollar terms when the GSL Order is accepted – generally immediately, using the most recent traded price for the security (in the case of a GSL over an existing CFD position) or when the CFD Order is filled (where the GSL Order is in relation to an Order that has not yet been accepted). The GSL Level in dollar terms will be the GSL Percentage away from the execution price.