Hong Kong Exchanges and Clearing Limited (HKEx) has announced market makers, margin rates and information vendors’ access codes for HSI Dividend Point Index Futures (HSI Dividend Futures) and HSCEI Dividend Point Index Futures (HSCEI Dividend Futures), which have received regulatory approval and will begin trading in HKEx’s derivatives market on Monday, 1 November 2010.

Market Makers

HKEx has appointed BNP Paribas Futures (Hong Kong) Ltd, Goldman Sachs Futures (Asia) Ltd and SG Securities (HK) Ltd as market makers for HSI Dividend Futures and HSCEI Dividend Futures to facilitate trading in the new contracts.

Market makers will be quoting prices continuously for at least 70 per cent of the time in a calendar month with a bid / offer spread of not more than 30 points or 10 per cent of the bid price for at least 50 contracts in all listed contract months, or responding to quote requests for at least 70 per cent of the total quote requests in a calendar month within 20 seconds, with a display of at least 10 seconds.

Margin Rates

The table below shows the minimum margins to be collected by an Exchange Participant from its clients in respect of their dealings in the contract.  The margins are based on the clearing company’s normal procedures and standard margining methodology.

HKFE emphasises that the above are minimum rates and Exchange Participants should set their margin requirements according to their clients’ individual circumstances.

Information Vendors’ Access Codes for Dividend Futures (as of 25 October 2010)

y  = contract year
m = contract month

Note: For additional information on HSI Dividend Futures and HSCEI Dividend Futures, please see the 27 September 2010 news release, “HKEx Plans to Introduce Dividend Futures on 1 November”, in the news release section of the HKEx website.

Ends