The contract was a seasonal maximum binary option for January to March of 2010 and was executed on the exchange on December 22. It was brokered by Choice Environmental on behalf of a reinsurance company and a Midwest supplier whose business is tied to snowfall levels.
“The snowfall binary option contract is an innovative hedging tool that brings new end-user participants to the market and has the potential to add significant liquidity to weather-related derivatives contracts,” said Clinton
- Asia moves: Natixis sales head moves to Barclays, new banking head for StanChart Singapore, and more
- Functional programming reaches for stardom in finance
- Banks hope final FRTB rules will ease NMRF burden
- Banks use machine learning to ‘augment’ corporate sales
- Buy-siders eye ways to get ahead of US resolution stay rules