Cboe plans to introduce a pan-European derivatives market, launching futures and options on six key European equity indices in the first half of 2021.
Cboe Global Markets, Inc. today announced the completion of its acquisition of EuroCCP, a leading pan-European equities clearing house.
Cboe sees an opportunity to further grow this business by capitalising on the strength of its pan-European network, and by pursuing the development of derivatives trading and clearing capabilities in the region.
As part of the transaction, EuroCCP put in place a committed credit facility of up to €1.5 billion. This facility is an important part of a number of new tools and procedures designed to strengthen the firm’s liquidity risk management framework and help ensure EuroCCP continues to meet relevant liquidity requirements under the European Market Infrastructure Regulation (EMIR).
Cboe plans to launch Cboe Europe Derivatives in the first half of 2021, subject to regulatory approvals. This Amsterdam-based market is expected to initially offer trading in equity futures and options based on six Cboe Europe Indices: the Cboe Eurozone 50, Cboe UK 100, Cboe Netherlands 25, Cboe Switzerland 20, Cboe Germany 30, and Cboe France 40 – all calculated using Cboe market data.
Cboe plans to add futures and options on additional European benchmarks at a later date, based on customer demand. EuroCCP will provide clearing services for the platform, subject to regulatory approval.
Industry veteran Ade Cordell, who joined Cboe Europe earlier this year to oversee Cboe’s expansion into European derivatives, has been appointed President of Cboe NL, subject to regulatory approval. This is Cboe’s Netherlands-based exchange which launched in October 2019 and will be the future home to Cboe Europe Derivatives.
EuroCCP continues to operate as an independent subsidiary, retaining its name and continued leadership by Cecile Nagel.