Eurex Bonds, the fixed income trading platform, announced today that on 18 December it will launch a new index family with Deutsche Brse, consisting initially of ten German bond indices.
The new indices for fixed-income German federal bonds are based on prices for trades completed on Eurex Bonds as well as binding bid and ask prices. Deutsche Brse will use these data to calculate the bond indices minute by minute and disseminate them via the exchange’s own data distribution system, CEF (Consolidated Exchange Feed).
The index family is to be called eb.rexx. Eurexsays they are the world’s first bond indices based on traded and publicly available prices. Subscription to the indices is free of charge.Eurex Bonds and Deutsche Brse have already been making real-time trading data available outside of the trading environment, free of charge, since September 2, 2002.This means that currently tradable prices and volumes (best-ask and best-bid) as well as trading data from completed trades (last market price) are also available to a broad public.
The eb.rexx index family will be calculated in accordance with the EFFAS (European Federation of Financial Analysts Society) standards valid in Europe, and meets the demand for transparent and easily replicable indices. “Due to the high transparency and liquidity of the Eurex Bonds trading platform, eb.rexx offers institutional market participants an ideal basis for attractive financial market instruments like exchange-traded funds or derivatives,” says Eurex Bonds. “Negotiations between potential licensees and Deutsche Brse indicate that the first products can be expected to be introduced as early as the beginning of next year.”
In addition to an overall index on German government bonds, Deutsche Brse will launch indices for the maturity segments between 1.5 and 10.5 years as well as more than 10.5 years. All indices will be offered as price and performance indices.
Eurex Bonds offers trading and clearing in German government bonds and, since the beginning of 2002, also in new issues by the KfW (Kreditanstalt fr Wiederaufbau), the European Investment Bank and individual German states, as well as Jumbo Pfandbriefe.
Maturities of the New German Bond Indices (Price and Performance Indices with Updates Every Minute)are:
eb.rexx Germany (Price)eb.rexx Germany (Total Return)eb.rexx Germany 1.5-2.5 (Price)eb.rexx Germany 1.5-2.5 (Total Return)eb.rexx Germany 2.5-5.5 (Price)eb.rexx Germany 2.5-5.5 (Total Return)eb.rexx Germany 5.5-10.5 (Price)eb.rexx Germany 5.5-10.5 (Total Return)eb.rexx Germany 10.5+ (Price)eb.rexx Germany 10.5+ (Total Return)