Five new options on German mid caps, plus extended lifetimes for German stock options
With effect from May 2, 2006, Eurex has listed another five options on German mid cap stocks, including Low Exercise Price Options (LEPOs).
In addition, since the beginning of May, all German stock options have been tradable with extended lifetimes of up to 24 months at least.
The new derivatives include options on each of the four MDAX issues Fresenius (preferred stock), Hochtief, Lanxess and Salzgitter as well as another option on Solarworld - which, by market capitalization, currently represents the largest issue in the TecDAX universe. The German stock options segment now offers a selection of 14 options on MDAX constituents and on six TecDAX shares, in addition to the options on each of the 30 DAX® component issues. Eurex stock options now cover 50 per cent and 33 per cent of the overall market capitalization of the MDAX and TecDAX, respectively.
Contract specifications of the new options are in line with the standard for German stock options already listed. Accordingly, they each have a contract size of 100 shares - except for Fresenius and Solarworld, with 50 and ten shares, respectively. The new options are available with lifetimes of up to 24 months. At the same time, lifetimes of all other German equity options are also extended to up to 24 months, from previously up to twelve or 18 months.
The new options have been included in the quotation package for German stocks: bEureoth Advanced Market Makers and Permanent Market Makers will also be permanently quoting prices in mid cap issues.
For detailed contract specifications and vendor product codes, please refer to the Eurex website at www.eurexchange.com, or email investors@eurexchange.com
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