Eurex Exchange is to list index futures based on the TA-25, Israel’s blue chip index, as of 9 June 2014.
The TA-25 index is one of the most heavily traded regional equity indexes.
Eurex Exchange’s TA-25 index futures will be denominated in US dollars.
Yossi Beinart, chief executive of Tel-Aviv Stock Exchange (TASE), says: “I am very pleased that our cooperation has already come to fruition, ushering in a new product which opens up exciting opportunities to invest in the TA-25 index and develop new trading and hedging strategies. The Israeli economy is recognised worldwide as one of the most promising and dynamic growth economies, and investment in Israel’s capital market attracts avid interest in international markets. The Tel-Aviv Stock Exchange places great importance in its international accessibility and constantly endeavours to enhance its product offerings to foreign investors.”
“With the launch of the TA-25 index futures we continue to expand our global product suite and broaden our regional coverage. Our cooperation with the Tel-Aviv Stock Exchange enables us to offer our market participants for the first time access to the Middle East,” says Andreas Preuss, CEO of Eurex.
Currently, Eurex and TASE are jointly preparing the market launch. Eurex has already received positive feedback from its members regarding market making and interest to trade the new futures. Market makers have already committed to provide liquidity from day one.
By the end of Q1 2014, the TA-25 index options were the tenth most traded index options worldwide. The year-to-date 2014 average daily volume in TA-25 index derivatives traded at TASE is around 200,000 contracts.