The KOSPI continues when Korea closes

Eurex/KRX Link

Trade and hedge KOSPI after the KRX closes

KRX and Eurex have been offering after-hours trading of KOSPI 200 Options at Eurex ("Eurex/ KRX Link") since 30 August 2010 by listing a daily expiring futures contract on Eurex that results in a position in the corresponding series of the KOSPI 200 Options on KRX. The Eurex/KRX link received a strong commitment from major banks and financial institutions worldwide and has been a great success ever since.

In November 2016, Eurex and the KRX listed Mini KOSPI 200 Futures on the existing Eurex/KRX Link. Like the daily expiring futures contracts on the KOSPI 200 Options, the Mini KOSPI 200 Futures are listed as fully fungible daily futures allowing a transfer of open interest from Eurex to the KRX. The Mini KOSPI 200 Futures on Eurex are the perfect hedging vehicle for the KOSPI 200 Options on Eurex.

The strategic cooperation between KRX and Eurex has already proven very beneficial for both Eurex and KRX customers. It will continue to provide market participants with more trading and hedging opportunities on both exchanges.


Key Benefits

  • Access to KOSPI after-hours market
    The KRX KOSPI Options are one of the most liquid derivatives in the world. Eurex KOSPI products provide market participants with more trading and hedging opportunities of the Korean index during the core European and US time zones
     
  • Attractive and liquid market
    More than 254 million Eurex KOSPI Options contracts traded since inception and a 145% increase in Mini-KOSPI 200 Futures trading volume (Q1 vs. Q2 2020)
     
  • Fully fungible products
    Eurex KOSPI products are fully fungible with the corresponding contracts at KRX
     
  • Exchange-traded benefits
    Important exchange-based trading, clearing and risk management functionalities help to 
    reduce counterparty risks and increase margin efficiencies


Trading phases


Contract Specifications

Daily Futures on Mini-KOSPI Futures

Click on the Eurex product code to view further contract details, such as price charts and trading parameters.

Min. Price Change

 Product Code

Trading Hours

Contract multiplier

Points

Value

0.02


KRW 1,000

FMK2

10:00 - 21:00 CET
11:00 – 21:00 CEST

18:00 – 05:00 KST 
18:00 – 04:00* KST



One Mini-KOSPI 200
Futures contract of the
relevant series. (KRW 50,000)

* during the daylight savings time in Europe


Daily Futures on KOSPI Options

Click on the Eurex product code to view further contract details, such as price charts and trading parameters.

Min. Price Change

Product Code

Trading Hours

Contract multiplier

Points

Value

0.05 points when the price is quoted at
or above 10 points



0.01 points when
the price is quoted below 10 points

KRW 12,500


 

KRW 2,500

       OSK2

10:00 - 21:00 CET
         11:00 – 21:00 CEST                                    



18:00 – 05:00 KST 
18:00 – 04:00* KST


One KOSPI 200 Option
contract of the relevant series




(multiplier adjusted to KRW 250,000 per index point as of 27 March 2017)

* during the daylight savings time in Europe


How to access the Eurex/KRX link

  1. Listing of the Eurex KOSPI Products
  2. Eurex members: must have a business relationship with at least one KRX member to facilitate the delivery of the Eurex KOSPI Products
  3. KRX members: open an account with at least one Eurex member to facilitate outbound orders from Korea to trade the Eurex KOSPI Products
  4. Eurex members trade the product at Eurex by indicating the KRX member and the ID account number of the final beneficiary into the respective dedicated field along with the order. KRX members trade the Eurex KOSPI Products through Eurex members
  5. Margining: Intra-day margin in one of the Eurex clearing currencies (EUR/CHF/USD/GBP)
  6. Clearing: Payment/Receipt of variation margin in KRW at a Korean settlement bank by KST 15:00 (CET 07:00 or 08:00*)
  7. Settlement information transfer on a final beneficiary basis from Eurex Clearing to KRX
  8. Settlement information transfer from KRX to the respective KRX members
  9. Margin check & entry of the settlement information into the KRX system through KRX‘s OTC Block Trading Functionality
  10. Confirmation of settlement information entry which results in KOSPI 200 Options / Mini-KOSPI 200 Futures positions in the KRX market

Highlights

10 years Eurex and Korea Exchange – a prime example of a successful partnership

“It is wonderful that a major European exchange such as Eurex focused on the needs of Korean clients wanting extended trading hours for their local main index. Deutsche Bank is very proud to support this cross-regional initiative which has turned into a great success story!” Sebastien Bonvalet, Head of Listed Derivatives APAC, Deutsche Bank

After-hours trading of Mini-KOSPI Futures – only at Eurex Exchange

“For the last decade, the Eurex KOSPI market has been offering Asian investors exceptional opportunities to follow the various global market events. As one of the major market makers in KOSPI, we see this as a distinctive and intriguing market.” Peter Cho, Senior Trader, Ingensoma Arbitrage Pte Ltd

Contacts

Eurex Product Design

Floris Florquin

T +44-207862-7662

floris.florquin@eurex.com

Eurex Sales

Mezhgan Qabool

T +65 6597 3062

KRX Global Alliance

Jungmyoung Seo

T +82-51-6622695

jmseo@krx.co.kr