Singapore Exchange Limited (SGX) is to list the SGX MSCI Asia APEX 50 Index futures for trading on 21 May 2008.
This is the first internationally available pan-Asian futures contract based on the MSCI Asia APEX 50 Index.
The MSCI Asia APEX 50 Index aims to serve as a liquid proxy to the broader MSCI AC Asia ex-Japan index. The SGX MSCI Asia APEX 50 Index futures contract will provide an important hedging tool for institutions managing their portfolios benchmarked to the widely used MSCI AC Asia ex-Japan Index. Denominated in US dollars, the contract will offer international investors a convenient and cost-effective way to tap into fast-growing Asian economies, without the hassle of stock picking or trading into multiple markets individually.
The MSCI Asia APEX 50 Index captures the performance of the 50 largest stocks in the Asia ex-Japan region. The index currently has exposure to five markets, namely China, Korea, Hong Kong, Taiwan and Singapore.
“Asia is one of the fastest growing economic regions in the world. The SGX MSCI Asia APEX 50 Index futures contract is the first of its kind in the region, and it will satisfy our customers investment and risk management needs for the Asia ex-Japan market with one instrument. This contract will complement our suite of Asian equity derivatives, and further underpins SGXs role as a gateway to Asia for our customers,” says Chew Sutat, executive vice president and head of Development, SGX.