ICE launches Micro Asia Tech 30 Index Futures contracts

Rhea-AI Summary

Intercontinental Exchange (NYSE:ICE) announced the launch of Micro Asia Tech 30 Index futures contracts on April 26, 2021. These contracts allow investors to engage with the 30 largest technology firms in the Asia-Pacific region. The Micro Asia Tech 30 Index, launched recently, is designed for efficient investment tracking and has shown an annualized gross total return of approximately 13.8% since its inception. The futures will trade alongside other ICE contracts, providing a versatile option for market participants.

Positive

• Launch of Micro Asia Tech 30 Index futures on April 26, 2021.
• Access to 30 major Asia-Pacific tech companies via micro-sized contracts.
• Annualized gross total return of 13.8% since March 19, 2010.

Negative

• None.

Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced that it plans to launch Micro Asia Tech 30 Index futures contracts on ICE Futures Singapore on April 26, 2021.

The futures contracts are based on the recently launched ICE Asia Tech 30 Index (ICEAT30), which provides investors with the ability to capture the performance of the 30 largest technology and tech-related companies listed on selected Asia-Pacific exchanges.

Each Asia Tech 30 Index Futures contract is micro-sized at around USD $10,000, allowing market participants to precisely scale their exposure. The 30 companies which are currently part of the index are listed in full here, with approximate country allocations as of the last quarterly reconstitution as follows: China 37.40%, Japan 24.67%, South Korea 19.15%, and Taiwan 18.78%. The index constituents are reviewed quarterly.

The index has returned an annualized gross total return of approximately 13.8% from its base date of March 19, 2010 to April 9, 2021. The full historical index performance, based upon back tested index calculations, can be accessed via the ICE Index Platform.

The methodology for the index is publicly available here and provides details on constituent selections, weightings, calculations, and reconstitutions. The index is denominated in U.S. Dollars and published in real-time to ICE’s Consolidated Feed, ICE’s primary market data source for equity real-time and closing prices.

“The Asia-Pacific technology sector is an exciting space for investors and these micro futures contracts provide the ability to invest in the largest and most important of Asia’s tech firms through one single futures contract,” said Lucas Schmeddes, President of ICE Futures Singapore. “Over the last few months, tech companies in the region have fully benefited from the digital acceleration: from blue chip conglomerates such as Samsung, to emerging e-commerce platforms such as Meituan.”

“The new index is designed around the concept of today’s modern technology landscape, including highly capitalized and liquid companies across both the technology and tech-related sectors,” said Phil Galdi, Head of Indices at ICE. “The index is constructed on the basis of our ICE Uniform Sector Classification Schema, and its rules-based approach to selecting and weighting companies offers an incredibly efficient benchmark for investors to track the returns of this rapidly growing space.”

The Micro Asia Tech 30 Index Futures contracts will trade alongside other contracts on ICE Futures Singapore which include Bakkt® Bitcoin Futures, as well as cash settled Mini Brent Crude, Mini US Dollar Index®, Mini US Dollar/Offshore Renminbi, and Mini US Dollar/Singapore Dollar futures.

ICE offers over 6,000 indices which serve as performance benchmarks for over $1 trillion in assets managed by investors around the world. ICE is home to the NYSE FANG+™ Index, an index that provides exposure to 10 of today’s highly-traded tech giants, with NYSE FANG+™ futures and options contracts to help the market increase or reduce exposure to a key group of growth stocks in a capital-efficient manner.

About Intercontinental Exchange

Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds and operates digital networks to connect people to opportunity. We provide financial technology and data services across major asset classes that offer our customers access to mission-critical workflow tools that increase transparency and operational efficiencies. We operate exchanges, including the New York Stock Exchange, and clearing houses that help people invest, raise capital and manage risk across multiple asset classes. Our comprehensive fixed income data services and execution capabilities provide information, analytics and platforms that help our customers capitalize on opportunities and operate more efficiently. At ICE Mortgage Technology, we are transforming and digitizing the U.S. residential mortgage process, from consumer engagement through loan registration. Together, we transform, streamline and automate industries to connect our customers to opportunity.

Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located here. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the SEC on February 4, 2021.

About ICE Data Indices

The ICE Asia Tech 30 Index (“Index”) has been licensed by ICE Data Indices, LLC for use in connection with the Micro Asia Tech 30 Index Futures (the “Product”). The Product is not sponsored, endorsed, sold or promoted by ICE Data Indices, LLC, its affiliates or its Third Party Suppliers (“ICE Data and its Suppliers”). ICE Data and its Suppliers make no representations or warranties regarding the advisability of investing in securities generally, in the Product particularly, or the ability of the Index to track general market performance. Past performance of an Index is not an indicator of or a guarantee of future results.

ICE- CORP

Source: Intercontinental Exchange

View source version on businesswire.com: https://www.businesswire.com/news/home/20210422005629/en/

FAQ

When will the Micro Asia Tech 30 Index futures contracts launch on ICE?

The Micro Asia Tech 30 Index futures contracts will launch on April 26, 2021.

What is the focus of the Micro Asia Tech 30 Index?

The Micro Asia Tech 30 Index focuses on the 30 largest technology and tech-related companies listed on selected Asia-Pacific exchanges.

What are the benefits of investing in the Micro Asia Tech 30 Index futures?

Investing in the Micro Asia Tech 30 Index futures allows for precise scaling of exposure to significant tech firms in the Asia-Pacific region.

What is the historical performance of the Micro Asia Tech 30 Index?

The Micro Asia Tech 30 Index has returned an annualized gross total return of approximately 13.8% since its base date of March 19, 2010.