As of 11 May 2009, the derivatives exchange Eurex will increase the minimum price change (tick size) for futures based on medium-term (five years) debt instrument issued by the Federal Republic of Germany (Euro-BOBL-Future) from 0.005 to 0.01%. The tick size of the BOBL option will remain unchanged at 0.005%.
Our decision is based on an extensive consultation process with our customers, says Peter Reitz, member of the Eurex Executive Board . The full tick will provide market makers, such as tick traders and calendar spread specialists, with a better risk/reward profile and thus encourage quoting. This step will improve overall order book liquidity.
D.C.