Thai bourse to list interest rate futures in October
Thailand Futures Exchange, a subsidiary of the Stock Exchange of Thailand, plans to start offering short term interest rate futures and bond futures from October 18.
Offering this new product is in line with the Thai Capital Market Development Plan.
TFEX will list six month interest rate futures (THBFIX) and five year government bond futures, both settled in cash.
The exchange will test its futures trading system with its members in August. The THBFIX futures are for Bt10m ($312,000). The five year government bond futures will track bonds with a remaining time to maturity of four to six years, and with an outstanding value of at least Bt5bn ($156m).
TFEX will announce lists of bonds to be used as the underlying assets before futures contracts start trading. The exchange has developed the product in coordination with the Securities and Exchange Commission...