Eurex and the Korea Exchange have set the start date of their Eurex/KRX Link, a product cooperation to trade and clear Kospi 200 options, at 30 August 2010.
For the first time, Kospi 200 options will be available worldwide after Korean trading hours.
In-soo Kim, executive director of Korea Exchange, says: “Our agreement with Eurex today is part of our strategy to extend the global reach of KRX markets and furthermore, it is in line with KRX’s vision of becoming a world-class premier exchange. Through this cooperation, we will provide round-the-clock trading opportunities in the Kospi 200 options market, which is already the most liquid exchange-traded derivative product in the world.”
Michael Peters (pictured), member of the Eurex executive board, says: “This cooperation is another major milestone in our strategy to extend our global product suite by offering our members access to existing liquidity pools. The listing at Eurex of the most heavily traded options contract in the world will enable international investors and traders to access the Kospi 200 options market during core European trading hours.”
Both partners believe the cooperation will increase the liquidity and efficiency of the Korean market.
The newly extended market for Kospi 200 options will provide existing market participants trading and hedging opportunities for Korea Exchange positions after Korean trading hours and the potential to take positions as the global market fluctuates.
The Kospi 200 Index is a market capitalisation weighted index that consists of 200 blue-chip stocks listed on the Korea Exchange stock market.
