“With the addition of individual equity futures Eurex is rounding out its portfolio of equity derivatives,” said Rudolf Ferscha, CEO of Eurex. “We are already the leading European exchange for equity options trading and with these new products we will offer a one stop shop with equity options and futures under one roof. This market niche will offer professional OTC customers further opportunities for non-traditional yield enhancement.”
Recent changes in the regulatory framework with the implementation of the EU directive UCITS III (Undertakings for Collective Investments in Transferable Securities) have facilitated investment in derivatives by fund management companies. This in turn has increased market demand for derivatives. Futures on individual equities offer fund management companies attractive opportunities to invest in cash-settled derivatives.
