ASX proposes to launch new equity futures contract over the S&P/ASX 200 Gross Total Return index. The commodity code for the new futures contract will be AT. The underlying of the futures contract is the S&P/ASX 200 Gross Total Return index, which has a code of XJT. The first day of trading is to occur on Monday 3 June 2019 on ASX 24, subject to regulatory clearance. The S&P/ASX 200 Gross Total Return (AT) futures will have a first expiry date of 19 September 2019. The S&P/ASX 200 Gross Total return (XJT) differs from the traditional S&P/ASX 200 index (XJO) by accounting for the re-investment of dividends. It is important to note that the futures contract will have a divisor of 10. To illustrate, if the XJT index is trading around 65,000 points the new AT futures contract will trade and settle at around 6,500 points.
The new S&P/ASX 200 Gross Total Return (AT) futures contracts are expected to strengthen ASX’s current suite of Equity Futures contracts and allow for greater trading opportunities for existing clients whilst servicing the needs of new customers. Spread functionality will be available between the new S&P/ASX 200 Gross Total Return (AT) future and the existing SPI (AP) futures.
Further details on the draft Contract Specifications can be found here.
ASX will release a technical notice shortly outlining the dates whereby participants can perform testing on the new S&P/ASX 200 Gross Total Return (AT) futures contracts.
Customers and firms interested in market making are welcome to contact Gregory Pill on +612 9227 0696 or email@example.com to arrange a meeting.
Gregory Pill – Manager, Equity Derivatives