International Derivatives (IDX)

International Derivatives (IDX) give investors exposure to price movements of internationally listed shares. Investors are able to trade Single Stock Futures on internationally listed companies without the restrictions associated with exchange control regulations or the expense of setting up foreign trading accounts

Benefits

• Convenient entry point into foreign markets without the restrictions associated with exchange control regulations
• Diversify offshore
• Invest offshore without using or minimising your offshore allowance
• Capital efficient way to participate in shares
• Incur lower brokerage fees than actually trading in the underlying shares
• Take advantage of price movements in the underlying share

Who should use this product?

• Hedgers seeking to reduce risk by protecting an existing share portfolio against adverse price movements in the physical (spot) market
• Speculators hoping to make a profit on short-term movements in the futures contract price

How to use this product?

• Buy a future (long) when you expect the share price to increase - if it does you will realise a profit
• Sell a future (short) when you expect the share price to decrease - if it does you will realise a profit