High demand for Eurex Products in Italy
Future on Dow Jones Italy Titans 30 already with large market share and tight spread
The international derivatives market Eurex is expanding its Italian derivates segment as of September 6, adding options on the Dow Jones Italy Titans 30 index. This offer will make a liquid, cost-effective product range available, primarily for Italian investors. The range of products for institutional and private investors already includes options on the 12 most liquid Italian stocks and a future on the Dow Jones Italy Titans 30 index.
Rudolf Ferscha, CEO of Eurex, said: "With the consistent expansion of our Italian derivatives segment, we are responding to demand for a cost-effective, transparent product line that is tailored to our clients' needs. This move will enable us to attract new groups of customers for these products and the entire Eurex product range." The possibility of cross-margining with European index products will also allow Eurex participants to realize additional cost advantages, added Ferscha.
After expanding the Italian derivatives segment, Eurex has exhibited rising volumes and tight spreads since the beginning of the year in the trading of derivatives on Italian stocks and indexes. In the first seven months of the year, trading turnover for Italian stock options was up more than 36 percent on the same period one year prior. Just since the successful July 19
launch of the future on the Dow Jones Italy Titans 30 Index, up to 29 percent of volumes are being generated by derivatives on Italian benchmark indexes, with very narrow bid/ask spreads. On August 17, Eurex achieved a record turnover in trading with the future of 6401 contracts (29.2 percent market share). As with the future on the Dow Jones Italy Titans 30, the option will also be supported by market making.