Equity markets

Euronext to launch volatility indexes

Stock exchange Euronext is to launch three volatility indexes to capture implied volatility embedded in option prices. The AEX Volatility Index, the BEL 20 Volatility Index and the CAC 40 Volatility Index can be used as underlyings for structured…

Dawnay Day launches Maximiser II

Dawnay Day Quantum (DDQ) will launch DDQ European Stockmarket Maximiser II on 23 July, offering exposure to the Dow Jones EURO STOXX 50 Index with 10 times the index return, up to 60%; 1.75 times the index return, above 60%, uncapped; 100% capital…

Cbot voters may shun CME bid

Pressure is being placed on the Chicago Mercantile Exchange (CME) to raise its bid for the Chicago Board of Trade (Cbot) ahead of a crucial vote by both sets of shareholders on Monday.

SG CIB launches timer options

Société Générale Corporate and Investment Banking (SG CIB) has developed a new type of option that allows buyers to specify the level of volatility used to price the instrument. Timer calls are designed to give investors more flexibility and ensure they…

Model mismatch

While mark-to-market may be the prefered route to pricing, sometimes it just isn't possible. The Bank of New York's Tim Murphy and Markit's Richard Earl look long and hard at models as they apply to the pricing for OTC instruments

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