News, analysis and personal reflections on the markets & the financial sector

Thursday, April 24, 2008

Eurex

EUREX is the second largest derivatives exchange in the world. It is a 100% electronic exchange. Its most popular "retail" futures contracts are the DAX 30 and DOW JONES EURO STOXX 50 - both of which are stock index futures and which can easily be executed and traded in a futures account.

The DAX 30 is the blue chip stock index of the Deutsche Bourse. Like our own Dow Jones, the DAX is comprised of 30 stocks and is the best known barometer for the German stock market. The Dow Jones EURO STOXX 50 is an index of 50 blue chip stocks representing all of the European Monetary Union (EMU) nations. Both contracts open at 12:50 am and close at 3:00 pm (Chicago Time); although volume and liquidity is generally greatest between 12:50 am - 11:00 am (Chicago Time). Most platforms use FDAX for the DAX quote symbol and FESX for the Eurostoxx quote symbol.

Other futures and options contracts include:

  • Interest Rate Derivatives (f.e. Euro-Bund Futures, Euro-Bobl Futures)
  • Equity Derivatives (Equity Options and Single Stock Futures based on European underlying)
  • Equity Index Derivatives (f.e. Dow Jones EURO STOXX 50® Index Futures,DAX® Futures, SMI® Futures)
  • Volatility Index Derivatives
  • Exchange Traded Funds® Derivatives
  • Credit Derivatives (iTraxx® Europe 5-year Index Series, iTraxx® Europe HiVol 5-year
  • Index Series, iTraxx® Europe Crossover 5-year Index Series)
  • Inflation Derivatives
  • CO2 Derivatives

Only CFTC-approved products can be accepted and cleared by U.S. brokerage firms. For a complete list of CFTC-approved contracts, go to http://www.eurexchange.com/trading/products/cftc_approved_en.html

No comments: