Eurex revamps corporate structure in EU and Asia
26 January 2018 Frankfurt
Image: Shutterstock
Eurex, the Frankfurt-based derivatives marketplaces, has pledged to adapt its global structure with a halt to operational trading in Switzerland and expansion plans in Asia in favour of extended trading times.
As part of the restructure, Eurex will not file for a separate authorisation as multilateral trading facility under the new Swiss Financial Market Infrastructure Act and will discontinue its operational trading activities by 31 March 2018.
With the subsequent lapse of their admission to Eurex Zürich AG, trading members will be relieved from their respective statutory duties under FMIA, and fees due for the transaction reporting related to Eurex Zürich AG will no longer apply.
Going forward, Eurex will serve all its European and global clients through its existing German exchange and rulebook in Frankfurt, which now operates under the second Markets in Financial Instruments Directive.
In a statement on the pull back from Switzerland Eurex stated the move “allows to reduce legal and operational complexity as well as costs as participants no longer need memberships at two exchanges”.
At the same time, Eurex has discontinued the establishment of separate regulated entities in Singapore while at the same time strengthening its business and presence in market as the operational hub for Deutsche Boerse Group in Asia.
The scrapping of plans for separate regulated entities in Singapore aims to reduce complexity and effort for its members, according to Eurex.
As part of its operational overhaul, Eurex is set to extend its trading hours to include the Asian time zone.
The extended trading window aims to provide the market with additional hedging opportunities for selected benchmark products.
Thomas Book, CEO of Eurex, said: “Our focus in a fast changing environment is to maximise agility and efficiency.“
“We are very pleased to implement changes that will reduce regulatory complexity and cost for our clients. In addition expanding our distribution creates new and exciting trading opportunities.“
As part of the restructure, Eurex will not file for a separate authorisation as multilateral trading facility under the new Swiss Financial Market Infrastructure Act and will discontinue its operational trading activities by 31 March 2018.
With the subsequent lapse of their admission to Eurex Zürich AG, trading members will be relieved from their respective statutory duties under FMIA, and fees due for the transaction reporting related to Eurex Zürich AG will no longer apply.
Going forward, Eurex will serve all its European and global clients through its existing German exchange and rulebook in Frankfurt, which now operates under the second Markets in Financial Instruments Directive.
In a statement on the pull back from Switzerland Eurex stated the move “allows to reduce legal and operational complexity as well as costs as participants no longer need memberships at two exchanges”.
At the same time, Eurex has discontinued the establishment of separate regulated entities in Singapore while at the same time strengthening its business and presence in market as the operational hub for Deutsche Boerse Group in Asia.
The scrapping of plans for separate regulated entities in Singapore aims to reduce complexity and effort for its members, according to Eurex.
As part of its operational overhaul, Eurex is set to extend its trading hours to include the Asian time zone.
The extended trading window aims to provide the market with additional hedging opportunities for selected benchmark products.
Thomas Book, CEO of Eurex, said: “Our focus in a fast changing environment is to maximise agility and efficiency.“
“We are very pleased to implement changes that will reduce regulatory complexity and cost for our clients. In addition expanding our distribution creates new and exciting trading opportunities.“
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