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- Release Date: 05/05/14 12:05
- Summary: GENERAL: NZX: NZX Equity Derivatives Launch Date Announced
- Price Sensitive: No
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NZX
05/05/2014 10:05
GENERAL
REL: 1005 HRS NZX Limited
GENERAL: NZX: NZX Equity Derivatives Launch Date Announced
Following the successful completion of Equity Derivatives testing, NZX is
pleased to announce the launch of Index Futures on 16 June.
The Futures contract will trade off the NZX20 index, a capital index launched
on 23 April 2012 off a base of 3000. The NZX20 is highly correlated with the
NZX50 benchmark index, providing market participants with the same easy and
cost effective hedging tool available in most offshore markets.
The path to launch has included extensive consultation and planning with a
range of external stakeholders both in New Zealand and internationally.
With a firm launch date now set, NZX will increase its efforts in developing
customer activity and growing the market. This will include derivatives
education outlining the significant benefits of trading futures contracts -
hedging, transitioning, equitising cash and speculation.
NZX CEO Tim Bennett commented: "We are building markets for the long term to
ensure New Zealand has a vibrant capital market supporting both primary and
secondary trading, providing risk management solutions for institutions and
retail investors alike."
First NZ Capital has further reinforced their NZX derivatives participation
with a commitment to providing trading and execution services for the new NZX
Equity Derivatives market.
Managing Director of Institutional Equities James Lee commented: "We are
excited about the launch of equity derivatives and support NZX's initiative.
We look forward to providing services to clients who wish to use these
products for risk management and hedging purposes. We believe a functioning
derivatives market is an important component to having a fully functioning
capital market."
As previously announced, BNP Paribas Securities Services SCA (the global
custodian and securities services provider under the BNP Paribas Group) has
been accredited as a General Clearing Participant, a Legal Title Transfer
Depository Participant, and a Depository Participant for NZX's Equity
Derivatives Market.
For more information please contact:
Media
Kate McLaughlin
Corporate Communications
M: 027 533 4529
E: [email protected]
Brokers and financial markets
Sam Stanley
Head of Exchange Products
T: +64 4 496 2857
E: [email protected]
End CA:00250091 For:NZX Type:GENERAL Time:2014-05-05 10:05:51
