The planned options is the first product which is designed as an options on futures, so its underlying asset is the futures contract.
In addition, unlike the existing options instruments in Korea, the options on KTB futures will be traded on the American style. Accordingly, investors can exercise their rights before maturity.
KOFEX will provide price information on KOSDAQ50 index options through Boomberg, Reuters, Telerate and Members' and the KOFEX internet homepage.
Contract Specification of Options on KTB futures
| Underlying Asset | 1 KTB futures contract |
| Option Type |
Call / Put Options on KTB futures |
| Exercise Style | American (exercisable before expiration) |
| Tick Size | 0.01 |
| Tick Value | KRW10,000 |
| Strike Price Intervals | 0.50 |
| No. of Strike Price | Total 9 strike prices are initially listed : one at-the-money, four in-the-money, and four out-of-the-money |
| Contract Months | Consecutive 3 months and one of additional month from March cycle |
| Number of Contract | 4 contract months |
| Daily Price Limit | None |
| Position Limit & Exercise Limit | Can be adopted when KOFEX determines these to be necessary. |
| Last Trading Day | First trading day preceding the first Wednesday of the contract month |
| Trading Hours | 09:00-15:00 |
