The leading international exchange Eurex will launch over 100 new equity options in several steps starting on 23 March until mid of June 2009.
These new options will be based on European companies included in the Dow Jones STOXX 600 index. With this step Eurex broadens its offering of already existing country segments.
Peter Reitz, Eurex Executive Board member, explained: "We see good trading activities in European mid and small cap equity options in the OTC market and we want to respond to the request of Eurex market participants for our superior trading, clearing and risk management services for those options. Our central clearing services will mitigate counterparty risks for the trading parties.
In addition, our customers will benefit from daily valuations of their positions and low costs of trading."
To foster the usage of Eurex Clearing's services, the OTC Block Trade facility is usable for the new equity options with a minimum contract size of one.
For all new equity options, expiration dates of up to 24 months will be available. Some market makers agreed to provide quotes continuously and/or on request for the new options.
In the future, Eurex will continue to expand its equity options segment based on market demand. Currently, there are 215 equity options listed on Eurex.