SGX Announces Upcoming Launch of 13 New Equity Futures Contracts

Source: Regulation Asia Editors, Regulation Asia 2020-08-13

The new futures contracts are based on net total return and price return indices calculated by FTSE Russell, covering regional as well as single country benchmarks.

SGX (Singapore Exchange) has announced an expansion of its pan-Asia shelf of benchmark equity derivatives with the upcoming launch of regional and single country futures in August and September, based on indices calculated by FTSE Russell.

On 24 August, SGX will launch six new futures contracts based on net total return (NTR) indices, tracking Asia Ex-Japan, Asian emerging markets, Malaysia, the Philippines, Taiwan and Thailand.

In mid-September, subject to final regulatory processes, SGX will launch a further seven futures contracts based on price return indices. These will track Asia Ex-Japan, Asian emerging markets, Indonesia, Malaysia, the Philippines, Thailand, and Vietnam.

“In response to the portfolio needs of its international institutional customers, SGX has over the past few years pioneered Asian derivatives which incorporate dividend returns as well as price returns,” the exchange said in a statement. “These newest NTR products seek to extend SGX’s strong customer adoption of the MSCI index series to the FTSE Russell index series.”

SGX expects to receive CFTC (Commodity Futures Trading Commission) certification for eight of the new contracts, allowing them to be offered and sold to US persons.

Earlier this month, SGX had signaled the impending launch of a new and expanded suite of derivatives products, ahead of the expiry of its non-Singapore MSCI product licences in February 2021.

Last month, SGX also introduced a new futures contract, in collaboration with FTSE International, tracking Taiwan’s stock market.

deriatives

MSCI

US Commodity Futures Trading Commission

SGX Announces Upcoming Launch of 13 New Equity Futures Contracts

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