The new AUD/USD currency futures contract has the support of Deutsche Bank AG, which expects to act as a market-maker. Deutsche Bank proposes using its fxmarkets B2B platform to deliver continuous, real-time electronic contract pricing, coupled with automated trade execution, which SFE believes will provide liquidity from the launch date. Deutsche Bank’s fxmarkets B2B platform, already live and proven with a number of clients, is a key part of Deutsche Bank’s e-Commerce strategy.
Deutsche Bank AG is widely recognised as one of the world’s leading foreign exchange banks with more than 40 foreign exchange offices worldwide. Deutsche Bank’s prominent global position was reflected by its No.1 ranking in the 2000 Euromoney FX poll.
The AUD/USD futures contract will create a risk management tool for users wishing to limit their price risk exposure to currency fluctuations and will give investors the opportunity to take advantage of movements in the AUD/USD exchange rate.
Access to the foreign exchange market has traditionally been confined to banks, corporations and other large financial institutions. SFE’s new currency futures product will broaden the range of tools available to these professionals and also give private investors the opportunity to participate. The foreign exchange market is the world’s largest financial market sector, with an estimated daily turnover in excess of US$1.5 trillion.
The AUD/USD futures contract will be traded on SFE’s fully electronic, around-the-clock SYCOM® system, giving users of the contract the ability to immediately respond to events in global markets wherever they occur. The listing follows extensive market consultation, with demand expected to come from corporate treasuries, importers and exporters, professional and interbank proprietary traders, and retail participants.
The AUD/USD contract adds currency futures to SFE’s list of equity, interest rate and commodity products.
