Eurex Expands Partnership with Korea Exchange

Eurex, an international derivatives Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term and a member of the Deutsche Börse Group, announced today that it has expanded its long-standing partnership with Korea Exchange through the introduction of new futures.

According to the official announcement, the Korean benchmark index (KOSPI 200) futures will be listed on the Eurex/KRX Link. Eurex will list futures on the KOSPI 200 on 22 March. Eurex is the only exchange offering international investors access to the Korean market outside the regular Korean trading hours.

Eurex listed overnight KOSPI 200 Options in 2010 and Mini-KOSPI 200 Futures in 2016. Eurex recently reported financial numbers for 2020 and the exchange saw a jump in OTC Clearing Clearing Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Read this Term. Eurex reported a dip in European equity derivatives contracts in 2020.

Commenting on the latest announcement, Michael Peters, CEO of Eurex, said: “With the new KOSPI 200 Futures, we will offer unique trading and hedging efficiencies to our clients. Market participants will benefit from operational but most importantly from margin efficiencies. Adding KOSPI 200 Futures to our link is, therefore, the logical next step in our successful partnership.”

Growing Korean Market

Eurex highlighted the significant growth of KOSPI 200 in recent years and mentioned that the KOSPI 200 Options are among the four most heavily exchange-traded index contracts globally. The exchange added that an opportunity to trade KOSPI 200 Options and KOSPI 200 Futures on a single platform will facilitate traders around the world.

“This product line-up will allow market participants to access the Korean market almost around the clock. We believe the new offering will make the Korean derivatives market more attractive and further strengthen the decade-long partnership between KRX and Eurex,” Sohn Byungdoo, Chairman and CEO of KRX said.

“KOSPI 200 Futures are daily expiring contracts resulting in a corresponding position at KRX prior to the KRX market opening. In addition, both partners are currently working on launching a corresponding FX product on the link,” the exchange mentioned in the official announcement.