Press

Eurex, the international exchange organization, gave a positive assessment of the Euro-Repo trading on its platform on Thursday, roughly 10 weeks since the platform was launched: Trading volumes, the number of participants and the level of interest in the platform have been rising continuously, Eurex reports. Eurex has been offering Euro-Repo trading since July 16 with German government bonds and jumbo Pfandbrief issues as general collateral for secured fundraising and special Repos for the lending and borrowing of specific securities with terms ranging from one to 365 days.

In the meantime, 10 banks have been admitted to trading on Eurex Repo, which was launched with eight participants in July. The level of interest from trading participants is very high, according to the exchange organization; seven further international banks have already decided to participate in Eurex Repo and some of them are in the connection process.
Eurex is expecting the number of participants to double, to about 20, by the end of the year. Eurex Repo is open for all financial institutions that fulfill the conditions for admission to trading and clearing.

With euro repo trading, which since October 1 opens half an hour earlier at 07:30 a.m. CET, Eurex rounded out its offerings in fixed-income products with regard to instruments, maturities and services. Eurex offers the full product spectrum, from cash trading and futures to Repos with terms of one day to 30 years. Moreover, Eurex is the only exchange organization to make all clearing services for the fixed-income segment available to the market, through Eurex Clearing AG, in addition to trading.

The Eurex Repo platform, which has already been successful in the Swiss Francs Repo market since June 1999 with more than 100 banks participating, is based on modern Internet technology, which facilitates handling and access for participants. The bulk of the repo business, in which securities are sold for immediate delivery and simultaneous repurchase at an agreed time in the future, has been conducted over the phone up to now.