LONDON - Reuters (LSE: RTR), the global information company, and SuperDerivatives, the benchmark pricing system for currency options, have today announced an agreement to make SuperDerivatives' foreign exchange (FX) option pricing system available to users of Reuters 3000 Xtra.
SuperDerivatives has established itself as the provider of one of the leading options pricing systems in the FX market, which is used by many leading market participants all over the world. The company recently won the best non-bank FX options pricing platform in the prestigious Euromoney technology awards for 2003. SuperDerivatives provides the real time market price (bid and offer prices) for all classes of options in over 50 currency pairs.
The agreement to make SuperDerivatives available to Reuters 3000 Xtra subscribers will allow all Reuters customers to access leading FX option pricing and analytics. By providing accurate market prices to potentially thousands of users all over the world, this agreement will help further increase transparency in the currency options arena. Reuters 3000 Xtra subscribers can request a free trial of the service.
Reuters subscribers will also be able to access SuperDerivatives' mark-to-market (MTM) and correlation rates, without additional fees. In addition, SuperDerivatives will provide timely updates for 25-delta risk reversal rates for a few major currency pairs. These will initially be on one-, three-, six- and 12-month intervals.
"This deal has the potential to revolutionize the world of FX derivatives. Any FX options participant can now access true market prices, as well as all the top features and tools that SuperDerivatives offers, through Reuters 3000 Xtra. From now on, small institutions can be equipped with the same powerful tools as top investment houses," says David Gershon, Chief Executive of SuperDerivatives.
"This is extremely important, as recent and new accounting standards make it essential for anyone using options to have access to accurate market prices. This agreement with Reuters will facilitate pricing and accurate revaluation of option portfolios for many institutions," adds Gershon.
Mark Robson, Managing Director, Reuters Treasury Services, comments: "Reuters is the leading provider of information and trading systems to the global Treasury markets. The deal with SuperDerivatives will provide our FX Dealing Community with one of the leading FX Option pricing and analytics systems. SuperDerivatives market prices are the same as those quoted between inter-dealer brokers, meeting Reuters' aim to bring greater transparency and accuracy to the FX market place."
SuperDerivatives customer base ranges from multi-license global investment banks, such as Citibank, JP Morgan Chase, Merrill Lynch, Societe Generale, Commerzbank and Mizuho, to corporate treasuries, such as IBM, Alcatel, Xerox and Ford, as well as leading accountancy firms and auditors through to hedge funds and single users funds companies.