The international derivatives market Eurex Exchange achieved a new milestone in its dividend derivatives segment in March 2014.
For the first time, the overall monthly volume exceeded one million contracts since launch of the segment in June 2008.
The total number of traded contracts was 1,086,054, bringing the open interest to 3.2 million contracts (as of 1 April).
A further all-time monthly high was recorded in the options on the Euro Stoxx 50 Dividend Futures with more than 250,000 contracts. Additionally, the sub-segment single stock dividend futures had its second-best month with more than 400,000 contracts.
Based on this successful volume development, Eurex Exchange has further expanded the segment and launched single stock dividend futures based on 21 of the largest US equities as of 10 April. With this extension, dividends of 110 listed firms from 11 countries can be hedged using a regulated exchange including central clearing.
“We are very pleased with the tremendous development of this asset class on our exchange. This would not have been possible without the intense support of our trading community. Jointly, we have developed this completely new market successfully,” says Mehtap Dinc, member of the Eurex executive board.