Nasdaq Launches Mini Futures on OMXS30 to Increase Access to Benchmark Index Trading

Rhea-AI Summary

Nasdaq (NDAQ) has launched new Mini OMXS30 Futures, making the futures market more accessible for investors. These contracts are based on the OMXS30 index, which includes top Nordic stocks like Volvo, Ericsson, and AstraZeneca. The mini futures have a notional value one-tenth that of standard OMXS30 futures, allowing for lower investment thresholds. This move aims to enhance liquidity and provides investors with cost-effective risk management options. In March 2020, trading volumes for the standard OMXS30 futures reached record levels, highlighting strong market interest.

Positive

• Launch of Mini OMXS30 Futures enhances market accessibility and investor participation.
• Lower investment threshold at approximately 1 EUR (SEK 10) times the index value encourages broader trading.
• Expected to increase liquidity and provide cost-effective risk management for investors.

Negative

• None.

-  New OMXS30-based mini futures offer liquid and accessible contracts to the most traded benchmark index in the Nordic region 

STOCKHOLM, Sweden, Sept. 03, 2020 (GLOBE NEWSWIRE) -- Nasdaq (Nasdaq: NDAQ) today announced that Mini OMXS30 Futures, providing higher accessibility to the listed futures market for all investors, are available for trading starting today. The contracts are based on OMXS30, Nasdaq’s leading European index containing the 30 most actively traded stocks on Nasdaq Stockholm, including companies such as Volvo, Investor, Ericsson and AstraZeneca.

The new contracts complement the standard OMXS30 index future, one of the most actively traded benchmark index investment products in Europe. The mini futures contracts have a notional value a tenth the size of the standard OMXS30 futures contract¹.

”A well-functioning futures market gives investors the possibility to manage risk and benefit from all market scenarios. At Nordnet, we work hard to democratize savings and this is an excellent example of how we, this time together with Nasdaq, lower the barriers for trading,” said Martin Ringberg, Country Manager Sweden at Nordnet.

“The addition of mini futures to OMXS30 will provide an even more cost effective way for market participants to gain access to the most actively traded benchmark index in the Nordic region,” said Alessandro Romani, Head of European Derivatives at Nasdaq. “The new Mini OMXS30 Futures products will give more opportunities for investors to manage risk while further adding to liquidity.”

Launched in 1986 as a forward contract, trading in the standard OMXS30 future has shown steady growth. Trading reached an all-time-high in March of 2020 with more than 7.7 million contracts traded that month.

The OMXS30 index was also the first benchmark index in the world to get an ESG compliant version, the OMXS30 ESG Responsible index, in June of 2018. Futures based on the ESG index were launched in October the same year, and since then more than 2.1 million contracts have been traded.

To inform investors of the opportunities but also risks of trading in derivatives, Nasdaq recently launched a derivatives education program in partnership with OptionsPlay. The program is available free of charge to all Nordic private investors.

The Mini OMXS30 Futures are available for trading on Nasdaq Stockholm.

¹ minimum investment is approx. 1 EUR (SEK 10) times the index value (currently around 1790)

About Nasdaq

Nasdaq (Nasdaq: NDAQ) is a global technology company serving the capital markets and other industries. Our diverse offering of data, analytics, software and services enables clients to optimize and execute their business vision with confidence. To learn more about the company, technology solutions and career opportunities, visit us on LinkedIn, on Twitter @Nasdaq, or at www.nasdaq.com.

Nasdaq Media Contact

David Augustsson
david.augustsson@nasdaq.com
+46 73 4496135

#NDAQG

FAQ

What are Mini OMXS30 Futures and how do they work?

Mini OMXS30 Futures are new trading contracts based on the OMXS30 index, allowing investors to trade with a lower investment threshold and offering better access to the Nordic market.

When were the Mini OMXS30 Futures launched?

The Mini OMXS30 Futures were launched on September 3, 2020.

What is the notional value of the Mini OMXS30 Futures?

The Mini OMXS30 Futures have a notional value that is one-tenth the size of the standard OMXS30 futures contract.

Which companies are included in the OMXS30 index?

The OMXS30 index includes major Nordic companies such as Volvo, Ericsson, and AstraZeneca.

How can I start trading Mini OMXS30 Futures?

Mini OMXS30 Futures can be traded on Nasdaq Stockholm, and investors can access them through brokerage accounts.