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Equity traders, investors and hedgers have long known the value of stock index futures. Traders can access exposure to the national stock market or specific sectors within it through various stock index futures benchmarks.

Market participation in the same way that investors can access the broad U.S. market through various S&P 500 futures contracts, access the largest blue chip stocks through Dow Jones futures, and access the technology sector through the Nasdaq 100. Eurex’s family of stock index futures.

Eurex is Europe’s leading derivatives exchange and clearing company. We deliver market liquidity, efficiency and integrity by providing our clients with innovative solutions that seamlessly manage risk. Eurex pioneers products and infrastructure through its derivatives exchange and clearing division, offering a wide range of international benchmark products and featuring open, low-cost electronic access.

Eurex index

Eurex offers a comprehensive suite of global, regional and thematic stock indices that allow traders to diversify their investments or add exposure to specific areas of their portfolio. With integrated clearing, cross-margining and vast product and liquidity pools, Eurex provides a single entry point into the ocean of liquidity, enabling operational and financial efficiencies. Eurex Benchmark Indices are among the most liquid listed derivatives, attracting a global network of market participants.

These indices include the following products and product families:

DAX® Futures

The DAX® stock index represents Germany’s 40 largest stocks. Eurex offers DAX® Index Futures (FDAX), Mini-DAX® (FDXM), which is one-fifth the size of a large contract, and Micro-DAX® (FDXS), which is one-fifth the size of Mini. I’m here. .

In addition to DAX® futures and options with varying risk thresholds, Eurex also offers Mid Cap Index (MDAX) futures. The index tracks the performance of 50 stocks that either follow the DAX® companies in terms of size or are ineligible for inclusion in the DAX®. Mini MDAX futures (FSMX) have a tick value of €1, so they are more in line with Micro-DAX® than Mini.

By diversifying FSMX with FDXS, individual traders can hedge their exposure to mid-cap stocks or bet mid-cap versus large-cap stocks.

Eurex also offers futures on the TecDAX index. The index includes the 30 largest companies classified in the ‘technology’ sector and meeting minimum quality requirements. TecDAX Futures (FTDX) has a tick value of €5. Traders can access the technology sector or split (or double) that sector by trading with Mini or Micro-DAX®. Eurex also offers futures on the Sustainability Index DAX® 50 ESG.

Euro STOXX50®

The EURO STOXX 50® is the Eurozone’s largest 50-stock index and the EURO STOXX 50® Futures (FESX) is the Eurozone’s benchmark equity index.

The EURO STOXX 50® Index Quanto Futures (FESQ) are identical to the highly liquid EURO STOXX 50 Index Futures (FESX), except that they are traded in USD. Both contracts expire on the third Friday of March, June, September, or December at exactly the same index level.

Eurex has launched micro EURO STOXX 50® futures trading at 1/20th the gearing of large contracts (see specifications below).

The STOXX® Europe 50 Index Futures (FSTX) is a contract based on an index of Europe’s 50 largest companies. The index includes companies based in the UK.

EURO STOXX 50® ex Financials Index Futures (FEXF) follows the same protocol as EURO STOXX 50®, but excludes financial sector stocks.

Eurex also lists 23 separate sector-specific index futures.

Contract amount and price tier:

contractContract amountlowest pricechange
EURO STOXX 50® Index Futures10 euros110 euros
Micro Euro STOXX 50® Index Futures10 euros0.55 euros
EURO STOXX 50® Index Quanto Futures$ 101$ 10
EURO STOXX 50® ex Financial Index Futures10 euros0.55 euros
STOXX® Europe 50 Index Futures10 euros110 euros

FTSE 100 Product Suite

Eurex lists its futures on the FTSE 100 Index (FTUK). The FTSE 100 is a stock index of the largest stocks listed on the London Stock Exchange based on market capitalization. Also listed are futures on the Declared Dividend FTSE 100 Index (FTDD) and the FTSE 100 Total Return Index (TTUK).

MSCI index

The MSCI index is one of the world’s most widely tracked benchmarks and is associated with over $16.3 trillion in assets under management. The index also serves as the basis for over 1,300 Exchange Traded Funds (ETFs). The huge amount of capital benchmarked against the MSCI indices and the increased tradability of index-based products through ETFs has increased the need for futures and options. MSCI derivatives help managers facilitate capital inflows and outflows, hedge existing equity exposures and improve portfolio performance.

Eurex is the only exchange that offers a comprehensive product suite consisting of regional and national index futures and options. There are currently 160 MSCI futures and 32 MSCI options available, covering emerging and developed markets across a range of index types and currencies (EUR, USD, GBP, JPY).

trading liquidity market

The universe of index futures offered through Eurex is very large, but core markets suitable for retail traders include the Mini and Micro-DAX® product suites, and the Micro-EURO STOXX 50®. More sophisticated traders can explore FTSE instruments and his sector-specific EURO STOXX futures.

“These are all great products,” he says. Dan Gramsza, President of Gramza Capital Management, acting as a trader and consultant for domestic and international clients. “These just provide an opportunity to diversify our exposure outside the United States.”

According to Gramza, the key to leveraging these products is knowing when these products are leading or lagging the U.S. market, both in terms of market dynamics and their impact on the U.S. market. It is to specify. “The amount of lead or lag can create unique opportunities for trade entry. Lead or lag can be defined not only in terms of time, but also in terms of magnitude of change,” Gramsza says. “The trading techniques we use for US domestic indices are applicable to these markets as well. It means it works for these European goods as well.”

Of course, trading the euro-based financial markets means you need to understand the fundamental factors and economic reports that affect these markets.

Anyone who trades the US financial markets understands the importance of knowing when major economic reports are released. The US Jobs Situation Report, GDP and Consumer Price Index could all cause major disruption to US based stock indices and Treasury futures. This is especially true for short-term day and swing traders, who are less able to withstand short-term volatility spikes. These traders should probably take a flat stance on these reports. Even long-term traders need to know the market expectations for these reports to manage their trades.

Anyone trading these Euro-based stock indices should be familiar with the German and European-based indices that can affect the market. StoneX Calendar A great resource for DAX® and Euro Stoxx futures, or any important event that could affect any market you trade.

Eurex offers a broad and liquid group of stock indices that offer opportunities to generate alpha and diversify your trading. Gramza points out that the best times to trade DAX® and EURO STOXX50® are usually his first two hours and his last two hours of a Eurex trading session. This is because liquidity and volatility are often at their maximum during both times of the day.