08 Jul 2021

Eurex

Equity index derivatives: Introduction of Mini-Futures and -Options on the MDAX® index, termination of trading in MDAX® futures and options

Eurex Circular 067/21 Equity index derivatives: Introduction of Mini-Futures and -Options on the MDAX® index, termination of trading in MDAX® futures and options


1.  Introduction

The Management Board of Eurex Deutschland has decided the following with effect from 23 August 2021:

  • Introduction of Mini-Futures and -Options on the MDAX® index
  • Introduction of a Liquidity Provider scheme for the new products

Furthermore, it was decided not to introduce any new contract months in futures contracts and options contracts on the MDAX® index (F2MX/O2MX) after 17 September 2021.

Production start of the new products: 23 August 2021

This circular contains information regarding the introduction of the new products and the updated sections of the relevant Rules and Regulations of Eurex Deutschland. 

2.  Required action

The new products will be traded and cleared in line with the existing equity index derivatives, therefore no action is required for participation in trading in these products.

3.  Details of the initiative

Please refer to Attachment 1 for details about the new products.

A. Product overview

Introduction of Mini-Futures and -Options on the MDAX® index (FSMX/OSMX) has been decided against the background of the high nominal value of existing index futures and options on the MDAX® (F2MX/O2MX). The aim of this measure is to facilitate tradability on the underlying.

B. Contract specifications and product parameters

In general, contract specifications for the new futures and options are in line with the existing contracts with the exception of the contract size, also in terms of trading hours and trading calendar, last trading day, settlement and determination of the daily and final settlement prices. The table below shows the most important contract specifications:

Mini-Futures on the MDAX®

Mini-Options on the MDAX®

Eurex Product ID

FSMX

OSMX

Product ISIN

DE000A2L0RN6

DE000A2L0RP1

Underlying

MDAX®

MDAX®

Underlying ISIN

DE0008467416

DE0008467416

Contract value

EUR 1

EUR 1

Minimum price change (tick)
in index points

1.0

0.1

Tick value

EUR 1.0

EUR 0.1

Contract months

Up to 9 months

Up to 24 months

Last Trading Day/ 
Final Settlement Day

The third Friday of the relevant contract month. Close of trading: 13:00 CE(S)T

The third Friday of the relevant contract month. Close of trading: 13:00 CE(S)T

Final Settlement Price

The value of the MDAX® index on the basis of the auction prices determined in the trading system Xetra® for the respective index constituents is decisive.
The intraday auction starts at 13:00 CE(S)T.

The value of the MDAX® index on the basis of the auction prices determined in the trading system Xetra® for the respective index constituents is decisive.
The intraday auction starts at 13:00 CE(S)T.

Minimum Block Trade Size
(Off-Book)
 

250 contracts

250 contracts

Trading hours

08:00 – 22:00 CE(S)T

09:00 – 17:30 CE(S)T


Please refer to Attachment 1 for the detailed contract specifications.

As of start of trading, the full version of the updated Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland will be published on the Eurex website www.eurex.com under:

Rules & Regs > Eurex Rules & Regulations > Contract Specifications

C. Admission to the Eurex T7 Entry Services (TES)

The new products will be admitted to the Eurex T7 Entry Services (TES). You can find the minimum block trade sizes on product level in the Contract Specifications in Attachment 1.

An overview of the Eurex T7 Entry Services available for the products as well as detailed information on single product basis with regard to availability, possibility of utilisation and minimum entry size for the various Eurex T7 Entry Services is available on the Eurex website under the link:

Data > Trading files > T7 Entry Service parameters

D. Risk parameters

As of start of trading, risk parameters of the new products will be published on the Eurex website under the link:

Data > Clearing files > Risk parameters and initial margins

and on the Eurex Clearing website www.eurex.com/ec-en/ under the following path:

Services > Risk parameters

Under the same link, you will also find an updated list with details regarding Prisma-eligible Eurex products.

E. Mistrade ranges

Mistrade ranges for the new products will be published as of start of trading on the Eurex website under the link:

Markets > Equity Index

F. Excessive System Usage Fee and Order to Trade Ratio

The Excessive System Usage Fee and the Order to Trade Ratio for the new products are determined in line with the existing equity index derivatives (FINX). For detailed information, please refer to the Eurex website under the following links:

Rules & Regs > Excessive System Usage Fee
or
Rules & Regs > Order to Trade Ratio

G. Transaction fees

Please refer to the current Price List of Eurex Clearing AG, available on the Eurex website under the following link:

Rules & Regs > Eurex Rules & Regulations > Price List

H. Vendor codes

As of start of trading, vendor codes for the new products will be published on the Eurex website under the link:

Markets > Product Overview > Vendor Codes

I. Liquidity provisioning

Please refer to the attached “Product Specific Supplements” (Attachments 2 and 3) for the relevant information.

J. Termination of trading in futures contracts and options contracts on the MDAX® index

It is planned to delist the existing index futures and options on the MDAX® (F2MX/O2MX) as soon as there are no longer any open positions in these contracts. Therefore, no new contract months in F2MX and O2MX will be introduced to trading at Eurex Deutschland after 17 September 2021. Expiring contracts without open positions will be put on Halt, unless there is a subsequent contract month with open positions.

Attachments:

  • 1 – Updated sections of the Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland
  • 2 – Product Specific Supplement 14 for Mini-Options on MDAX®
  • 3 – Product Specific Supplement 63 for Mini-Futures on MDAX® Index


Further information

Recipients:

All Trading Participants of Eurex Deutschland and Vendors

Target groups:

Front Office/Trading, Middle + Backoffice, IT/System Administration, Auditing/Security Coordination

Contact:

client.services@eurex.com

Web:

www.eurex.com

Authorized by:

Randolf Roth


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