15 Jun 2022

Eurex

Equity Derivatives: Introduction of Equity Options, Single Stock Futures and Stock Tracking Futures

Eurex Circular 064/22 Introduction of Equity Options, Single Stock Futures and Stock Tracking Futures

1.  Introduction

The Management Board of Eurex Deutschland took the following decisions with effect from 4 July 2022:

  • Introduction of five Equity Options pursuant to Annex B to the Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland (Contract Specifications) (Attachment 2),
  • Introduction of 35 Single Stock Futures pursuant to Annex A to the Contract Specifications (Attachment 2),
  • Introduction of two Stock Tracking Futures pursuant to Annex H to the Contract Specifications (Attachment 2),
  • Inclusion of eight Single Stock Futures and two Stock Tracking Futures in the existing Liquidity Provider (LP) schemes effective from 1 August 2022,
  • Further editorial changes to Annexes to the Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland pursuant to Attachment 2.

In addition, it was decided to no longer introduce additional expiries in five SSFs and two STFs. Expiries without any open interest in those products can be deactivated.

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

Production start: 4 July 2022

2.  Required action

There is no action required for participation.

3.  Details 

A. Product overview

Please refer to Attachment 1 for the product details.

B. Contract specifications and product parameters

In general, contract specifications for the new Equity Options, Single Stock Futures and Stock Tracking Futures are in line with the existing contracts with the relevant Eurex group ID, also in terms of trading hours and trading calendar, last trading day, settlement and determination of the daily and final settlement prices.

For the detailed Contract Specifications, please see Attachment 2.

The full version of the updated Contract Specifications will be published on the Eurex website www.eurex.com as of start of trading under:

Rules & Regs > Eurex Rules & Regulations > 03. 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 attached Contract Specifications in Attachment 2.

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 utilization 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 link:

Services > Risk parameters

You will also find an updated list with details regarding Prisma-eligible Eurex products under this link. 

E. 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 products (Equity Options, Single Stock Futures and Stock Tracking Futures). For detailed information, please refer to the Eurex website under the following links:

Markets > Product Overview
Rules & Regs > Excessive System Usage Fee
Rules & Regs > Order to Trade Ratio

F. Mistrade ranges and position limits

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

Markets > Product Overview

G. Transaction limits

The same values apply as for existing products with the relevant Eurex group ID. For details, please refer to the Eurex website under the link:

Rules & Regs > Excessive System Usage Fee

H. Transaction fees

The same transaction fees apply as for the corresponding existing products.

I. 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

J. Liquidity Provisioning

Please refer to Attachments 1, 3 and 4 for the Liquidity Provisioning. Detailed information can be found on the Eurex website under the following link:

Trade > Market-Making and Liquidity provisioning > Product Specific Supplements to the LPA

K. Products to be deactivated

Please refer to Attachment 1 for a list of products that will be deactivated.

Attachments:

  • 1 – Product overview, Liquidity Provisioning
  • 2 – Updated sections of Annexes A, B and H to the Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland
  • 3 – Updated “Product Specific Supplement for Single Stock Futures” – Equity 02
  • 4 – Updated “Product Specific Supplement for Stock Tracking Futures” – Equity 06


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:

Derivatives Trading Operations, tel. +49-69-211-1 12 10, eurextrading@eurex.com

Web:

www.eurex.com

Authorized by:

Randolf Roth


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