New pan-Nordic contracts launched on EDX London

EDX London, a joint venture between the London Stock Exchange and Sweden’s OMX, has launched a range of new Nordic equity derivatives contracts.

The new futures and options contracts will be linked to the VINX30 index, a euro-denominated, free-float adjusted tradable index based on the 30 largest and most liquid companies on the Nordic Exchange in Copenhagen, Helsinki, and Stockholm, and the Oslo Børs.

The new VINX30 products will be standardised and cleared-only cash-settled futures and options. Four market-makers will provide continuous quotes on the contracts, which will primarily be traded by institutional investors and hedge funds.

Lee Betsill of EDX London said: “We act as the international gateway to the Nordic derivatives market, and its members account for a growing proportion of activity, particularly in index products. Offering derivatives exposure to the largest companies across the Nordic region through one instrument is a natural step for us and for our members."

Betsill added: "We've already seen year-on-year growth of 34% in derivatives trading on the combined exchanges during the first half of 2006, and we firmly believe that the new VINX30 products will help to sustain and develop that interest.”

Trading and clearing in VINX30 products on EDX London will be free of charge until December 31 2006.