In February the RTS Stock Exchange and Bank of Russian acting as the Ministry of Finance of Russian Federation agent, signed the memorandum of cooperation aimed at developing contracts for government bonds placement price.
The underlying commodity for the contract is the auction price for government bonds OFZ-AD N 46002. The size of the contract is 10 securities. The contract will be executed on the day of the auction, June 2nd, 2004. The required guarantees are established at 7,5% of the price of underlying commodity. Exchange commission is set equal to 1 ruble per contract.
"Introducing this contract is just another step in building the interest rate futures business, the leading world derivatives market segment", - says Roman Goryunov, the head of the RTS Stock Exchange Derivatives market. "These instruments are used for hedging interest rate-related risks and will be instrumental in further development of the liquidity of the underlying commodity".
FORTS, a unified derivatives market operating since September 19, 2001, is based on trading and settlement technologies and software that were implemented at and have been successfully used by St. Petersburg Stock Exchange for 8 years. RTS acts as the trading system and the clearinghouse on the integrated market.
