Lukewarm reception for Eurex credit futures
Eurex admits that trading volumes have been "disappointing" since the March 27 launch of the new contract, but denies that the product is illiquid
Lower-than-expected support from market-makers hampered the launch of the credit futures contract on the Eurex exchange in March. By the end of April, Societe Generale remained the only bank trading the first listed credit derivatives, which Eurex launched on March 27.
The three six-month EUR100,000 contracts are based on iTraxx Europe's five-year investment-grade, high-volatility and crossover indices. In the four trading days to the end of March, 1,532 contracts changed hands, the majority of
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