HKEX ties up with MSCI to launch new Asian futures offerings

The move aims to boost its derivative business which accounts for 18% of HKEX revenue in 2017.

Bloomberg reports that the Hong Kong Exchanges & Clearing Ltd., is reportedly collaborating with index compiler MSCI Inc. to launch a futures contracts monitoring the performance of Asian companies in a bid to build its derivatives business.

HKEX and the New York-based firm are looking at a product tied to the MSCI AC Asia ex-Japan Index, according to a document obtained by Bloomberg.

Derivatives accounted for about 18 percent of HKEX’s total revenue last year, according to data compiled by Bloomberg, whilst the Singapore Exchange’s derivatives revenue accounted for 38 percent of the total in its fiscal 2017. 

“HKEX is constantly exploring ways to expand our suite of derivative products, including futures contracts, to meet market demand,” spokesman Jeffrey Ng said in response to questions. “HKEX will update the market when there are further developments.”

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