Understanding Delivery Months and Symbols

Every futures contract has a unique symbol that identifies the underlying asset, delivery month, and year. Understanding this symbology is essential for placing orders, tracking positions, and avoiding confusion between different contract expirations.

Definition and Key Concepts

Futures Symbol Structure

A typical futures symbol has three components:

[Root Symbol] + [Month Code] + [Year Code]

Example: ESH25

• ES = E-mini S&P 500
• H = March
• 25 = 2025

Month Codes

Standard month codes used across exchanges:

Memory aid: "F" starts the year, then alphabetical with some skipped (no I to avoid confusion with 1, no L for similar reasons).

Year Codes

Year designation varies by platform:

Most platforms now use two-digit years to avoid ambiguity.

Root Symbols by Asset Class

Equity Index Futures:

Treasury Futures:

Commodity Futures:

Currency Futures:

How It Works in Practice

Contract Month Patterns

Not all contracts trade every month. Different products have different delivery schedules:

Quarterly (March cycle): H, M, U, Z

• E-mini S&P 500 (ES)
• Most equity index futures
• Treasury futures

All 12 months: F, G, H, J, K, M, N, Q, U, V, X, Z

• Crude oil (CL)
• Natural gas (NG)
• Most energy commodities

Specific months only:

• Corn: March (H), May (K), July (N), September (U), December (Z)
• Soybeans: January (F), March (H), May (K), July (N), August (Q), September (U), November (X)

Serial months: Some contracts offer serial months (non-standard months) with limited liquidity.

Reading Symbol Chains

Crude Oil (CL) chain - January 2025:

E-mini S&P 500 (ES) chain - January 2025:

Expiration vs. Delivery Month

The contract month indicates when delivery can occur, but trading typically ends before:

E-mini S&P 500 (ESH25):

• Contract month: March 2025
• Last trading day: Third Friday of March (March 21, 2025)
• Settlement: Cash settled on last trading day

Crude Oil (CLH25):

• Contract month: March 2025
• Last trading day: Third business day before 25th of prior month (late February)
• Delivery period: Throughout March

Worked Example

Identifying the Correct Contract

A trader wants to buy S&P 500 futures for the next quarter.

Current date: January 15, 2025

Available ES contracts:

• ESH25 (March 2025) - 65 days to expiration - Front month
• ESM25 (June 2025) - 155 days to expiration
• ESU25 (September 2025) - 245 days to expiration
• ESZ25 (December 2025) - 340 days to expiration

Decision process:

For standard exposure, trade the front month (ESH25):

• Highest liquidity
• Tightest bid-ask spreads
• Most accurate tracking

For longer-term exposure, consider:

• Roll costs (quarterly rolls in ES are typically small)
• Liquidity profile of deferred months
• Specific expiration needs

Order entry: "Buy 10 ESH25 at market"

Symbol Errors to Avoid

Incorrect year: ESH24 vs. ESH25

• ESH24 expired March 2024
• ESH25 expires March 2025
• Wrong year = order rejected or executed in unexpected contract

Wrong product: ES vs. MES

• ES = E-mini ($50 multiplier)
• MES = Micro E-mini ($5 multiplier)
• 10× difference in contract size

Month mismatch:

• ESZ25 (December) vs. ESM25 (June)
• Entering wrong month code trades different expiration

Multi-Contract Positions

Spread order symbology:

Calendar spread: "Buy ESH25/ESM25" Meaning: Buy March, Sell June simultaneously

Some platforms use:

• ESH25-ESM25 (March minus June spread)
• ESH5M5 (compressed format)
• ES H25/M25 (separated format)

Verify your platform's spread symbology before trading.

Risks, Limitations, and Tradeoffs

Symbol Changes Over Time

As years progress, new year codes become active:

• In 2024, ESH25 is next year's March contract
• In 2025, ESH25 becomes the current March contract
• After March 2025, ESH25 ceases to exist

Automated systems must update year references.

Platform Variations

Different platforms may use:

• ESH5 vs. ESH25 vs. ESH2025
• ES_H25 (with underscores)
• ESH5-CME (with exchange identifier)

Know your platform's convention.

Inactive Contracts

Some months may list but have zero liquidity:

• Serial months in quarterly products
• Far deferred months
• Options on futures with specific expirations

Check volume and open interest before trading.

Common Pitfalls

1. Year code ambiguity: ESH5 could mean 2015 or 2025 depending on context. Use two-digit years when possible.

2. Expired contract orders: Attempting to trade ESH24 in 2025 fails—the contract no longer exists.

3. Confusing month codes: M is June, not May. K is May. Double-check before ordering.

4. Product family confusion: CL (crude oil) vs. CLT (calendar spread) vs. QCL (e-mini crude).

5. Exchange routing: Some symbols exist on multiple exchanges. Specify exchange if needed.

Checklist for Contract Symbols

• Identify root symbol for desired product
• Select correct month code for target expiration
• Use appropriate year format for your platform
• Verify contract exists and has liquidity
• Check last trading day and expiration procedures
• Confirm spread symbology if trading spreads
• Update automated systems for year changes
• Cross-reference with exchange official specifications
• Set alerts for approaching expiration dates
• Maintain current symbol reference sheets

Next Steps

For seasonal patterns in futures trading, see Seasonality Considerations in Futures Markets.

To understand position constraints, review Position Limits and Accountability Levels.