Initially, these futures contracts will be based on selected stocks listed on Singapore Exchange Securities Trading (SGX-ST). To be announced at a later stage, the list of stocks will include blue chip companies that attract global trading interest with their large capitalisation and their inclusion in major indexes. The exchange also plans to introduce single stock futures on other regional and global stocks at a later stage.
Mr Thomas Kloet, CEO of SGX said, "The introduction of single stock futures is a result of the synergy derived from the integration of our securities and derivatives markets. This initiative will provide our end users with greater flexibility in managing their investment portfolios, and is yet another step towards enhancing our position as a financial marketplace with a wide array of instruments for trading, hedging and arbitraging."
