Eurex Exchange

The European Exchange, short Eurex is one of the world's largest derivatives exchanges for financial derivatives (futures and options), which emerged in 1998 from the merger of DTB ( German derivatives exchange ) and the members of the SWX Swiss Exchange SOFFEX (Swiss Options and Financial Futures Exchange ). Eurex mark is protected.

  • 4.1 Eurex Bonds
  • 4.2 Eurex Repo

History

The end of 1996 German Börse AG and SWX Swiss Exchange signed a "Letter of Intent" to create a common trading and clearing platform for its derivative products. On 4 September 1997, the formation of such a platform was officially announced in the Swiss guarantor floor; could eventually be implemented technically and organizationally in the course of 1998, the merger between DTB ( German derivatives exchange ) and the SOFFEX (Swiss Options and Financial Futures Exchange ) to Eurex ( European Exchange ). Since September 1998, the members of both exchanges now trade on the common trading and clearing platform. This includes the two exchanges among the first institutions that provides access to derivatives markets through electronic trading platforms.

By 2012, the parent company of Eurex Frankfurt AG, Eurex Zurich AG was that held 100 % interest in and to the German Börse AG and SWX Swiss Exchange was involved in equal parts. Subsidiaries of Eurex Frankfurt AG are the U.S. Exchange Holdings, Inc., Eurex Clearing AG ( ECAG ), Eurex Repo GmbH and Eurex Bonds GmbH. Eurex Germany AG is the public part of the Eurex. Eurex AG belongs since 2012 to 100 % of the German Stock Exchange Group.

Among the first products to be introduced next as adopted by the DTB and SOFFEX products on Eurex, including options on the Euro -Schatz Futures, three-month EURIBOR futures, Euro BUXL futures and futures on the EURO STOXX 50 ( Index Futures). In 1998, just over 248 million contracts were already traded by a total of 313 registered members.

Since 1999, market participants, a graphical user interface for trading on Eurex available; in the course of cooperation between Eurex and the Helsinki Exchange Group Ltd.. (HEX ) introduces new products to Scandinavian indices and individual stocks in September 1999. Compared with the previous Eurex can grow substantially of members ( over 400) and in volume ( a total of about 380 million contracts traded ) in 1999.

Staged over 2000 more options on individual values ​​of the EURO STOXX 50 Index are introduced. Similarly, the range of futures and options on sector indices of the EURO STOXX and the STOXX Europe 600 is continuously expanded in the following years. For the first time options on the most liquid U.S. retail values ​​can be traded on Eurex. In addition to trading in futures and options is based Eurex another foothold in OTC trading and clearing on: Together with institutional market participants Eurex operates from October 2000, the two platforms Eurex Bonds and Eurex Repo for the trading of government bonds and securities repo trading in government bonds and Jumbo Pfandbriefe.

The number of new products and the continuous improvement of the trading and clearing conditions cause now over 674 million contracts traded on Eurex in 2001.

Another milestone in November 2002, the introduction of trading in futures and options on exchange-traded index fund shares, known as exchange -traded funds ( ETFs). By the turn advanced sector product range as well as options on more and more individual values ​​from all over Europe and the United States over 800 million traded contracts to be registered in 2002.

Beginning of 2003, supplemented Eurex their products in the interest area of futures on the interest rate EONIA ( European Overnight Index Average ). The agreement for the joint operation of the Eurex between the German Börse AG and SWX Swiss Exchange is prematurely extended until 2014. The end of 2003, the limit of one billion contracts traded, total 1.014 billion, achieved.

Eurex to Launch in February 2004 in Chicago, the derivatives exchange Eurex U.S. and therefore is expanding its business model to the trading and clearing of USD - denominated products in the United States. With 1.066 billion contracts traded, the value of 2003 is surpassed.

In spring 2006, a change in the post of Chairman of the Board will be held; Andreas Preuss takes over the business of his predecessor Rudolf Ferscha. Be re- added to the product range called Weekly Options, the range of equity index derivatives is thus extended to the short-term maturities. Similarly, the offer is on equity derivatives adds further - to include futures and options on underlying assets from the mid-cap indices MDAX and SMIM and for the first time on Spanish and Swedish issues. Likewise, equity index options on the MDAX and SMIM be introduced. Efforts to Asia show effect: the first connectivity to Eurex a member in Singapore is carried out. From 1 October 2006, the MAN Group has acquired 70 % of Eurex U.S. and executes under the name USFE ( U.S. Futures Exchange) on. At the end of the trading volume has increased to 1.53 billion contracts traded, ie by 22% compared to last year.

Trading volume

Products

Eurex offers a wide range of equity, equity index, interest rate, volatility ETFs and derivatives.

Equity Derivatives

In equity options investors can almost 200 stock options to American, German, Finnish, French, Italian, Dutch, Swiss, Spanish and Swedish -based title act, including stock options on 49 of the 50 values ​​of the EURO STOXX 50 Index to Eurex. Gradually, the number of futures contracts on equities ( single stock futures) is extended by Eurex. In the meantime a total of 370 individual values ​​now can be traded futures.

Equity index derivatives

In the equity index derivatives comprises the product offering futures and options on the leading international blue-chip indices, European mid-cap segments, as well as various industry indices. Specifically, these are:

  • Futures and options on the EURO STOXX 50 Index
  • Futures and options on the STOXX Europe 50 Index
  • Futures and options on the STOXX Europe 600 Index
  • Futures and options on the STOXX Europe Mid 200 Index
  • Futures and options on the Dow Jones Global Titans 50 Index
  • Futures and options on the Dow Jones Italy Titans 30 Index
  • Futures and options on the DAX, MDAX and Nasdaq
  • Futures and options on the SMI and SMIM
  • Weekly Options on the EURO STOXX 50 Index, DAX and SMI
  • Futures and options on the OMX Helsinki 25 Index
  • Futures and Options on EURO STOXX Sector indices
  • Futures and Options on STOXX Europe 600 Sector Indices

Volatility index derivatives

The latest additions are volatility futures on the volatility indices of the German Stock Exchange ( VDAX -NEW ), SWX Swiss Exchange ( VSMI ) and STOXX Ltd.. ( VSTOXX ). Thus, market participants can hedge volatility fluctuations on the German, Swiss and European equity markets with an exchange-traded futures family for the first time.

  • VDAX -NEW Futures
  • VSMI futures
  • VSTOXX futures

Exchange - traded funds derivatives

In November 2002, the trading of futures and options on exchange-traded index fund shares, known as exchange - traded fund (ETF ), Eurex introduced. The underlying assets are:

  • DAX EX
  • EURO STOXX 50 EX
  • IShares EURO STOXX 50 EX
  • XMTCH on SMI

Interest rate derivatives

The interest rate derivatives cover the German yield curve with a maturity of up to 35 years and the Swiss yield curve in the maturity range of 8 to 13 years from:

  • Euro -Schatz Futures ( Underlying Federal Treasury notes with a maturity from 1.75 to 2.25 years )
  • Euro Bobl futures ( underlying government bonds with a remaining maturity between 4.5 and 5.5 years )
  • Euro -Bund futures ( underlying German government bonds with a remaining term of 8.5 to 10.5 years )
  • Euro BUXL futures ( underlying German government bonds with a remaining maturity of between 24 and 35 years )
  • CONF futures ( underlying bonds of the Swiss Confederation )

On Euro -Schatz, Euro -Bobl and Euro -Bund Futures, options can be traded.

Other products in the field of interest rate derivatives are the following money market derivatives:

  • One Month EONIA Futures ( underlying EONIA rate)
  • Three-month EURIBOR futures ( underlying European Interbank Offered Rate)
  • Options on Three-Month EURIBOR Futures

The interest rate derivatives account for about half of the trading volume at Eurex. The Euro -Bund Futures represents about one million contracts traded per day selling product on Eurex dar.

Energy derivatives

Since December 5, 2007 in cooperation with the European Energy Exchange AG (EEX ) offers the Eurex to trade in energy derivatives, in the area of CO2 futures. Also cooperate, the two clearing houses Eurex and EEX in this regard. The contracts are physically delivered by European Commodity Clearing AG (ECC).

Eurex Bonds and Eurex Repo

The business model of Eurex extends not only to contracts but also on off-exchange spot market transactions.

Eurex Bonds

Eurex Bonds GmbH was founded in 2000 as a joint initiative of Eurex Frankfurt AG and leading financial institutions to life. It provides an electronic platform for OTC trading and clearing of

  • All fixed-interest bonds of the Federal Republic of Germany ( German government bonds, government bonds and Federal Treasury )
  • Non-interest bearing treasury bills ( discount papers ) of the Federal Republic of Germany
  • European government bonds
  • Bonds ( Agencies ) by supranational institutions and government-guaranteed bonds
  • Jumbo Pfandbriefe of German issuers, fixed income bonds of the German states as well as so-called Slimbos
  • Covered bonds ( covered bonds ) of various European issuers
  • Selected European corporate bonds (corporate bonds )
  • Based instruments for all in the Fixed Income Futures ( Euro -Schatz, Euro -Bobl and Euro -Bund Futures ) deliverable bonds of the Federal Republic of Germany and based instruments for selected fixed-income bonds of the Federal Republic of Germany, not in the Fixed Income Futures ( Euro - Schatz, euro -Bobl and euro -Bund Futures ) are available.

By connecting the Eurex Bonds trading platform to the clearing system of Eurex Clearing AG is a direct link between the cash and futures markets, through the electronic trading of bonds of the Federal Republic of Germany and the underlying share for all in the fixed income derivatives deliverable bonds in a central quote book is possible.

Eurex Repo

At Eurex Repo Market participants can trade a wide selection of sale and repurchase agreements (repos ), including for German and Austrian government bonds, Jumbo Pfandbriefe market bonds, bonds issued by the KfW Bank Group and the European Investment Bank bonds. Repos combine the sale of securities with the same type of securities on redemption date.

Eurex Repo operates on two different markets, the euro repo market and the Swiss franc repo market.

The euro repo market allows European financial services providers access to refinancing with European securities. Eurex Repo, institutional investors the opportunity to optimize in different standardized General Collateral Basket segments its liquidity management and to benefit from the market transparency of an electronic trading system.

At the Swiss Franc Repo Market to manage more than one hundred international banks liquidity. The market players to make their funding and collateral management directly at the Swiss interbank market as well as through participation in the daily auctions are usually held by the Swiss National Bank ( SNB).

About Eurex Repo market participants thus find access to reliable trading, clearing and settlement systems in the European and Swiss repo market.

In repo transactions between two institutional investors, in turn, delivers the Eurex Clearing AG as a central counterparty and guarantees the market participants, the actual performance of the service commitments.

Basically, Eurex Bonds and Eurex Repo open to all interested credit institutions and financial service providers. The company must be subject to in their respective country of domicile financial market supervision. For individual investors trading on Eurex Bonds and Eurex Repo is currently not possible because it is a pure interbank trading and the contract size is in the multi-digit million range.

Types of business entity Eschborn Derivative (finance)
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