NO 243 – MAY 2013

WFE Focus May 2013
New products

Australian Securities Exchange launches trading in Australian government bonds

The Australian Securities Exchange started to trade Australian government bonds on 21 May 2013, giving retail investors access to buy and sell these products as easily as shares.

BM&FBOVESPA widens its offer of interest rate derivatives

BM&FBOVESPA widened its interest rate product range on 27 May 2013 with the launch of three new derivatives referenced to the average rate in one-day repurchase agreements: the US dollar spread future contract referencing one-day repurchase agreements; the US dollar swap with reset referencing one-day repurchase agreements; and the forward rate agreement on one-day repurchase agreements.

CME Group lists futures contracts for renewable identification numbers

On 13 May 2013, CME Group launched for trading nine new futures contracts for Renewable Identification Numbers (RINs). They allow customers to hedge risk in three different types of renewable fuels (biodiesel, advanced biofuel, ethanol), and will be available on the CME Globex electronic trading platform.

Dubai Gold and Commodities Exchange launches mini Indian Rupee futures

In a bid to further expand the reach of its Indian Rupee product offering, the Dubai Gold and Commodities Exchange has launched a mini Indian Rupee futures contract. The first of its kind to be introduced in the region and outside of India, the mini contract is one-tenth the size of the existing DGCX Indian Rupee futures contract. The smaller size of the contract will support retail remitters, individual investors and small and SMEs in cost-effectively managing currency risk exposure to the Indian Rupee.

GBOT launches Contracts for Difference

The Global Board of Trade has successfully launched Contracts for Difference (CFDs). It is the first exchange in Africa to introduce CFDs. GBOT CFDs will replicate the spot price performance of underlying assets and give traders and investors exposure to USD denominated currencies, commodities, equities and indices. The introductory CFD contracts on GBOT will include gold, WTI crude oil, EUR/USD and GBP/USD.

IntercontinentalExchange launches growth and value index futures

On 22 April 2013, IntercontinentalExchange introduced two new Russell index futures contracts. They will be based on the Russell 2000 Growth and Russell 2000 Value indexes and began trading.

Johannesburg Stock Exchange expands Quanto futures range

Market participants will be able to obtain exposure to nine new foreign-referenced soft and hard commodities thanks to the Johannesburg Stock Exchange’s expansion of its Quanto futures range. Products to be introduced under license from the CME Group are heating oil, gasoline, natural gas, palladium, sugar, cotton, cocoa, coffee and corn.

MCX-SX to introduce derivatives on its SX 40 index

On 15 May 2013, MCX Stock Exchange introduced trading in futures and options on its flagship index SX40, a free float-based index of 40 large cap and liquid stocks, representing diverse sectors of the economy. The index was launched on 9 February 2013.

NASDAQ OMX to develop steel products futures

The NASDAQ OMX Group and World Steel Exchange Marketing have signed a strategic partnership to develop financially settled steel and steel scrap futures products to be traded on the NASDAQ OMX Futures Exchange. It will help the steel industry better manage steel price risk, with a world-class trading platform and a complement of steel futures products. The products are expected to launch in the fourth quarter of 2013 following filing with the US Commodity Futures Trading Commission.

NASDAQ OMX Commodities launches Swedish-Norwegian electricity certificate instruments

On 6 May 2013, Swedish-Norwegian Electricity Certificate instruments were launched for trading and clearing at NASDAQ OMX Commodities Europe and NASDAQ OMX Clearing.

Shanghai Stock Exchange launches first cross border ETF

The Shanghai Stock Exchange launched China’s first cross-border ETF based on the NASDAQ-100 index for trading. It provides Chinese investors access to US securities for the first time.

Stock Exchange of Thailand lists first Thai infrastructure fund

On 19 April 2013, the Stock Exchange of Thailand listed BTS Rail Mass Transit Growth Infrastructure Fund on its main board.