Eurex, the leading derivatives exchange, and Korea Exchange, a leading Asian exchange, today announced a wide-ranging product cooperation in trading and clearing derivatives.
Andreas Preuss, CEO of Eurex, and Jung-hwan Lee, Chairman & CEO of KRX, signed an agreement in Seoul.
According to this, KRX will grant Eurex the right to list, trade and clear Daily Futures on KOSPI 200 Options worldwide after Korean trading hours. Eurex as Europe's largest derivatives exchange intends to launch its daily futures on this option on the Eurex platform in January 2010.
Mr. Jung-hwan Lee, Chairman & CEO of KRX, said "Our agreement with Eurex today is part of our strategy to extend the global reach of KRX markets and furthermore, it is in line with KRX vision of becoming a world-class premier exchange. Through this cooperation, we will provide round the clock trading opportunities in KOSPI 200 Options market which is already the most liquid exchange-traded derivative product in the world."
Andreas Preuss, CEO of Eurex, said: "This cooperation is another milestone in our strategy to offer our customers access to all major asset classes and all major markets. The Eurex listing will enable international investors and traders to access the KOSPI 200 Options market during core European trading hours."
Both partners believe that the cooperation will increase the liquidity and efficiency of the Korean market. This new extended market for KOSPI 200 Options will provide existing market participants trading and hedging opportunities for KRX positions after Korean trading hours and a possibility to take positions as the global market fluctuates.
KRX and Deutsche Börse signed a Memorandum of Understanding (MoU) on 30 January 2007. Among other activities, the MoU initiated a joint working group to explore cooperation in the derivatives market. Today's announcement is one of the first joint projects of both partners.