According to the official BYMA text, the initiative seeks to improve price formation, reduce transaction costs, increase the liquidity of the derivatives market and increase the volume of futures contracts for these instruments.
Bolsas y Mercados Argentinos (BYMA) announced on Tuesday, September 10, that it is introducing three new equity futures for trading: stock futures and Cedears.
These are Grupo Financiero Galicia (GGAL) stock futures, S&P 500 Cedears (SPY) futures and Mercado Libre Cedears (MELI) futures.
“Trading these instruments on BYMA offers benefits in terms of coverage, as well as guarantee and settlement thanks to the centralization of operations,” BYMA said in the official statement.
It is worth remembering that futures and shares can be traded at BYMA. That is, each of the new futures as its respective underlying share, which implies coverage against asset variations, which translates into more alternatives for risk management.
In turn, it is possible to liquidate everything in BYMA, allowing the use of available assets and funds to cover positions. Mark to Market (the daily settlement and compensation of profits and losses) is netted with the rest of the settlement.
These instruments are traded on BYMA platforms that have technological standards of the most advanced markets.
The instruments will be available for trading on 12/09 September:
- GGAL Stock Futures
- MELI CEDEAR Futures
- SPY CEDEAR Futures
The expiration date for all of them is the last business day of the current month.
The novelty includes a Market Makers program for BYMA member agents responsible for providing liquidity in the contracts they operate on. The objective is to improve price formation, reduce transaction costs, increase the liquidity of the derivatives market and increase the volume of Stock Futures and Cedears contracts..
Source: Ambito
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