Eurex Exchange Readiness Newsflash | Introduction of Eurex Daily Futures on KOSPI 200 Futures – prerequisites for trading and simulation

Dear Eurex Participant, 

The introduction of Eurex Daily Futures on KOSPI 200 Futures on the Eurex/KRX Link was announced in Eurex circular 013/21. With this Newsflash, we would like to provide you detailed information about prerequisites for trading of the new products and participating in the simulation.

The effective launch date for the new product is 22 March 2021. Simulation will start on 15 February 2021.

1.  Product scope 

The following product in scope on the Eurex/KRX Link is:

• Daily Futures on KOSPI 200 Futures (FBK2)  

Further below listed products are already available on the Eurex/KRX Link: 

• Daily Futures on KOSPI 200 Options (OKS2)  
• Daily Futures on Mini KOSPI 200 Futures (FMK2)  

The new products will follow the same trading mechanism and requirements as the existing Eurex KOSPI Products.

2.  Required action 

A. If you already participate in trading of Eurex KOSPI products, please note the following:

• The Eurex Daily Futures on KOSPI 200 Futures will be assigned to the same capacity (i.e. Cash KRW) and will automatically be available for trading for all participating Members. No additional form is required.
• Trading Participants are recommended to align with their respective Clearing Members for any risk limit setup, if necessary.
• Trading Participants can assign product and set up transaction size limits for traders using the User maintenance functions of the Eurex Admin GUI. For further details regarding product assignment, please refer to the documentation “T7 Derivatives Markets Trader, Admin and Clearer GUI Manual” on the Eurex website www.eurex.com, initiative page under:
• Trade > Find > Initiatives > Release 9.0 > System Documentation
• All technical requirements are the same as for the existing Eurex KOSPI Products.

B. If you would like to participate in trading of the Eurex KOSPI Products, please note the following:

• Trading Participants and their respective Clearing Members need to jointly sign and submit the application form “Application for Participation for the Trading of Eurex Daily Futures Contracts on KOSPI 200 Derivatives of the Korea Exchange”. Please request the forms through your Key Account Manager. 
• Please also refer to the Eurex/KRX Link Member Readiness Guide for more details or get in touch with your Key Account Manager.

3. Simulation

The Eurex Daily Futures on KOSPI 200 Futures (FBK2) will be available in the Eurex simulation environment as of 15 February 2021. In addition, KRX will support the participating Eurex and KRX Members to simulate the positions transfer process at KRX during 15 February 2021 to 12 March 2021.  

All Trading Members and ISVs are encouraged to participate in simulation in order to prepare for the launch of the new product. 

All details about the Eurex KOSPI products can be found on the dedicated Eurex website under the link:

Trade > Markets > Equity Index > Eurex KOSPI Products

On this website, also the Eurex/KRX Link Member Readiness Guide is available.
 
If you have any further questions or comments, please do not hesitate to contact your Key Account Manager or send an e-mail to client.services@eurex.com.  
 

Kind regards

Your Client Services Team

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