The first phase of the programme, to be rolled out over the remainder of this year, encompasses significant improvements in LIFFE's electronic market, distribution and products.
Dan Casey, Managing Director of Marketing & Development commenting on the initiatives, states: "The growth and development of LIFFE's Equity markets are a high priority for the Exchange. We have already seen significant growth this year in our Equity Options and UK and European Index product lines. Our extensive investment and development is driven by our customers' enthusiasm for the future potential of these markets."
Specifically, the initiatives comprise: Significant improvements to the electronic market through the enhancement of the LIFFE CONNECT™ Host software on 30 October, providing increased functionality such as new strategy trading facilities. Expansion of trading access through the international distribution of LIFFE CONNECT™ for Equity Options, beginning with Germany, France, Switzerland and The Netherlands from where new entrants have already placed orders for LIFFE CONNECT™. Ensuring competitive markets quoted on each equity option through the introduction of a new market-making scheme, the Primary Market Maker scheme, in Individual Equity Options, phased in from 11 September. Broader product appeal, particularly targeting private investors, through the launch of a Mini FTSE 100 index futures contract in mid-October, with facilities allowing netting of positions against the existing FTSE 100 index futures contract. Greater flexibility and security of trading through the introduction of 5 year FTSE 100 Flex® options in early October, enabling traders to agree trades bilaterally in any FTSE 100 index option series out to five years maturity, with the benefit of the clearing functionality provided by The London Clearing House (LCH). The extension of trading hours for European Index futures contracts, which include the FTSE Eurotop 100 and MSCI Euro and Pan-Euro contracts by one hour to 5.00pm London time, from 4 September, Extending market participation through the implementation of a retail market development strategy. This is designed to provide access to futures and options contracts through a larger retail broker network, and to provide access to education materials and market information, particularly through websites
