Deutsche Bank seeks plays on EU convergence

Deutsche Bank has launched a Central European foreign exchange (CEFX) convergence index designed to provide optimally weighted risk/return exposure to the Polish, Hungarian, Czech and Slovakian currencies. The index is tradable as a spot currency, with forwards and options, but Deutsche claims a number of structured products will shortly be available.

Deutsche Bank claims the CEFX Convergence Index is an ideal product for clients wishing to take exposure to all the appreciating, converging currencies of Central Europe via a simple, optimised, spot index vehicle. In October, rival JP Morgan launched its European Convergence Model Portfolio, a recommended model portfolio for fund managers looking to capitalise on EU accession.

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