Taiwan Futures Exchange and Eurex to launch joint venture in May
The Taiwan Futures Exchange and Eurex, Deutsche Börse’s international derivatives market, plan to launch a cross-listing link 15 May 2014. With this link, Eurex Exchange will list TAIEX index futures and options as daily expiring futures on Eurex. Derivatives on the TAIEX index are one of the most heavily traded Asian equity index contracts.
Andreas Preuss, chief executive of Eurex, said: “With this link, we further broaden our presence in Asia and complement our global product suite. Our members will benefit from direct access to one of the most successful index derivatives contracts in Asia, while Taiwanese market participants will be able to trade Taiwan’s most liquid index derivatives contracts during Taiwanese after hours.This will also attract new customers for TAIEX products outside of Taiwan.”
The link will increase the liquidity and efficiency of the Taiwanese derivatives market. In 2013, average daily volume of TAIEX was around 95,000 futures contracts and 455,000 options contracts. The options are the fourth most heavily traded index derivatives contract in Asia-Pacific and are ranked number six worldwide in the first 10 months of 2013.
The cooperation has been approved by Taiwan’s Financial Supervisory Commission.