.jpg)
CME Group, the world's largest and most diverse exchange, and Standard & Poor's(R), the world's foremost provider of independent credit ratings, indices, risk evaluation, investment research and data, today announced the launch of three S&P equity index derivatives products scheduled to begin trading August 19. The E-mini(R) S&P SmallCap 600(R) index futures, the S&P SmallCap 600 index futures, and options futures on the E-mini S&P MidCap 400(R) index enhance the suite of established equity products already offered that allow customers to synthetically replicate the world's most important benchmarks.
"These new small- and mid-cap offerings are in addition to our successful large-cap indexes that together provide a proxy for the entire U.S. equity market, as well as major global indexes," said Executive Chairman Terry Duffy. "CME Group offers futures and options on the S&P 500, Dow Jones Industrial Average(R), NASDAQ-100(R), FTSE(R)/Xinhua China 25(R), Nikkei 225(R), MSCI(R) EAFE(R) and S&P Asia 50(R), extending our global leadership in equity index offerings."
"The combined strengths of the CME and S&P brands, our combined customer base and global distribution, and our trading and clearing platform advantages will position us for success in the small- and mid-cap portion of the market," said Chief Executive Officer Craig Donohue. "Our long-term 25-year relationship with S&P is one of the most successful partnerships in the financial services arena. Through our joint efforts, CME Group will be an aggressive competitor in capturing hedging and trading interest in the small- and mid-cap products."
"Through ongoing conversations with our customers around the world, we know they want high performance, stable and liquid equity index benchmark products. Both the MidCap 400 and SmallCap 600 deliver on these requirements," said Rick Redding, CME Group Managing Director of Products and Services. "Beyond that, as market conditions change, our clients look for tools that allow them to seize opportunities. The S&P MidCap 400 has, year-to-date, the best total return performance of any U.S. domestic equity index, making the Midcap 400 options a highly functional trading vehicle."
The E-mini S&P SmallCap 600 equity index futures will trade exclusively on CME Globex(R) virtually around the clock. Previously offered with a $200 multiplier, the new contract replaces the previous contract and will now have a $100 multiplier, which is in keeping with the other E-mini equity index contract sizes.
The S&P SmallCap 600 equity index futures will have a $500 multiplier and will be available for trading daily in open outcry 8:30 a.m. to 3:15 p.m. Chicago time and on CME Globex 3:30 p.m. thru 8:15 a.m. with trading halting 4:30 p.m. to 5:00 p.m. for maintenance each evening. This contract is fungible with the E-mini S&P SmallCap 600.
Options on the E-mini S&P MidCap 400 equity index futures will also trade virtually 24 hours a day exclusively on CME Globex as a complement to the E-mini S&P MidCap 400 equity index futures that have been trading successfully since 2002.
All three of these products will have market makers. CME Group is waiving all trading fees for the E-mini S&P SmallCap 600 and the S&P SmallCap 600 contracts through March 2008.
CME Group (http://www.cmegroup.com) is the world's largest and most diverse exchange. Formed by the 2007 merger of the Chicago Mercantile Exchange (CME) and the Chicago Board of Trade (CBOT), CME Group serves the risk management needs of customers around the globe. As an international marketplace, CME Group brings buyers and sellers together on the CME Globex electronic trading platform and on its trading floors. CME Group offers the widest range of benchmark products available across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and alternative investment products such as weather and real estate. CME Group is traded on the New York Stock Exchange and NASDAQ under the symbol "CME."
