Jul 27, 2018
Eurex | Eurex Clearing
While the ECB holds on to its monetary policy, why not visit the home of the euro yield curve?
The European Central Bank has decided to keep its monetary policy unchanged and freeze its benchmark interest rate on the deposit facility at -0.40 per cent. This is again a good opportunity to take a closer look at what Eurex interest rate derivatives have to offer.
Interest rate derivatives make up one of the largest markets in the world. About 70 percent of all listed and centrally cleared euro interest rate derivatives of the fixed income and money market segment are traded on Eurex Exchange. Why? We list some of the world’s most heavily traded fixed income derivatives allowing you to manage your interest rate risk and diversify your portfolio. These instruments serve as a standard reference when comparing and evaluating interest rates in Europe –from Euro-Bund, Euro-Bobl, Euro-Schatz, Euro-Buxl®, all based on German government bonds. Swiss CONF derivatives, Spanish Euro-BONO Futures, Italian and French government bonds – an effective way to hedge these government portfolios – are also part of our product suite.
Improve your hedging and strategy trading
Our fixed income options are listed as options on fixed income futures, giving you the right to buy or sell the underlying at a specific strike price. Contracts are available with a maximum time to expiry of six months and listed as American-style options that can be exercised at any time and settle into long or short positions in the underlying fixed income futures.
All this enables you to hedge your European exposure, enhance returns with option-based strategies and utilize implied volatility. For example, our options on Euro BTP-Options provide our customers with an efficient hedging tool for the Italian interest curve.
Find out more and stay ahead of the curve with our fixed income derivatives.
