The termination of the partnership between Eurex and Korea Exchange marks the end of a significant era in the global derivatives market. Robbert Booij, CEO of Eurex Frankfurt AG, expressed well wishes to Korea Exchange as they part ways after a decade-long collaboration that allowed German markets to list Korean products.
The decision to delist KOSPI Futures and Options, and FX USD/KRW Futures on Eurex is a reflection of the evolving landscape of derivatives trading, with a focus on extended trading hours. Established in 2010, the partnership enabled Korean equity and currency contracts to be traded on Eurex during prime European trading hours, enhancing accessibility for European investors.
Korea Exchange’s strategic decision to expand its trading hours to align with the European trading day rendered the partnership obsolete. Booij conveyed Eurex’s support for Korea Exchange’s initiative, emphasizing the importance of adapting to global market trends and providing investors with seamless access to products across different time zones.
Despite the termination of the agreement, Eurex remains committed to serving Korean, Asian, and global investors through its robust trading and clearing ecosystem. Booij expressed optimism about maintaining a strong partnership with Korea Exchange in the future, highlighting Eurex’s dedication to offering diverse and highly liquid products to investors worldwide.
The de-listing of Korean futures and options traded on Eurex signifies a shift in trading dynamics. Last year, Eurex’s KOSPI 200 options, KOSPI 200 weekly options, and daily futures on KOSPI 200 witnessed significant trading volumes, reflecting investor interest in Korean derivatives. However, these volumes represented a small fraction of Eurex’s total trading volume, which exceeded 2 billion contracts in 2024.
As market dynamics continue to evolve, traders and investors are bracing for heightened volatility, influenced by ongoing US policy effects. Operational resilience has become a key focus for firms like Marex, which navigated tariff volatility to post strong first-quarter results. Meanwhile, the departure of CFTC’s Pham raises questions about the commission’s future composition, signaling potential changes in regulatory oversight.
In conclusion, the termination of the Eurex-Korea Exchange partnership underscores the dynamic nature of the derivatives market and the need for adaptability in response to evolving market trends. While this marks the end of a chapter in their collaboration, both exchanges are poised to continue serving investors with innovative products and solutions in the ever-changing global financial landscape.
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