JSE powers exotic derivatives offering with SuperDerivatives market data

May 24, 2011


Johannesburg/London, 23 May 2011: SuperDerivatives (SD), the derivatives benchmark and multi-asset front office system, announced today that it will provide the market data to power the Johannesburg Stock Exchange’s (JSE) new exotic currency options offering, namely the ‘any-day expiry’ contracts.

In response to growing demand from a number of South African banks, the JSE will be launching a set of exotic currency products. These derivatives give investors the advantages of listed derivatives with the flexibility of over-the-counter contracts. Investors can negotiate the terms of an option contract, choosing the underlying asset as well as the expiry date.

The JSE will feed in SD’s independent market data to enable accurate calculation of daily closing prices, ensuring investors are equipped with the most accurate information to inform trading decisions.

Warren Geers, General Manager of Trading at the JSE, said: “As the South African listed derivatives market develops and matures, investors are seeking more complex structures, such as non-vanilla/standardised options, in order to hedge their specific risk profiles. These exotic products are often illiquid and difficult to price – however with SuperDerivatives’ market data we can be sure that investors know the true market value of the derivatives they trade with us. Accurate data is an essential component of increasing transparency and improving confidence and liquidity in this market overall.”

Maria Johansson, Regional Sales Manager UK and Africa at SD added: “Our data is sourced from trading desks at close to a hundred global and local interdealer brokers, market makers, exchanges and trading platforms as well as top data aggregators. These true live market rates are then acid tested in real-time in the marketplace by active traders.

“Our insistence on broad market data contribution means that pricing information is truly neutral and unbiased, ensuring market participants trading on the JSE will have access to the most accurate information at all times.”


About SuperDerivatives

SD is transforming the world of derivatives by introducing transparency to all major traded derivative classes including foreign currency, interest rates, equities, commodities, energy and credit. Providing prices that reflect the interdealer market has led the company’s web-based, market-calibrated solutions to be widely accepted as the benchmark for derivatives pricing.

Trading professionals on both the buy and sell side benefit daily from SD’s unique combination of unbiased, aggregated market data and sophisticated modeling techniques. The company also provides fully-fledged risk management solutions, award winning derivatives data and independent portfolio revaluation services.

At the core of all the company’s solutions is SD’s extensively sourced and intelligently amalgamated market data, comprising true live market rates that are acid tested in real-time in the marketplace by active traders and run through a proven pricing model.

SD customers include leading banks, hedge funds, asset managers, custodians and hedge fund administrators in more than 60 countries, supported by a global network of SD offices with 24-hour support services.


About JSE Limited

As South Africa’s only full service securities exchange, the JSE connects buyers and sellers in five different financial markets, namely equities, equity derivatives, commodity derivatives, interest rate products and currency derivatives. The JSE Ltd offers the investor a truly first world trading environment, with world class technology, surveillance and settlement in an emerging market context. It is amongst the top 20 largest equities exchanges in terms of market capitalisation in the world.

For further information, please visit www.jse.co.za  

International Press Contacts

Nick Murray-Leslie/Nick Warren
Chatsworth Communications
T: +44(0)20 7440 9780
E: press@sdgm.com  

Michelle Joubert
Head Investor Relations
T: +27 11 520 7080
E: michellej@jse.co.za  

Victoria Williams / Renata Da Silva
Corporate Communications Consultants
T: +27 11 463 2198
E: victoria@corpcom.co.za  / renata@corpcom.co.za