no 32/14 NASDAQ OMX Commodities converts to German Calendar for German Power, introduces Automatic Give-Up / Take-Up functionality and enhances Inter Commodity Spread Credit margin methodology

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| Source: NASDAQ OMX Commodities

NASDAQ OMX Commodities is pleased to announce the launch of new features in Genium INET during Q2-2014. Genium INET will be upgraded to version 4.0220 over the weekend 7-8 June 2014. Subject to testing and regulatory approval, the changes will be activated for members as of 9 June.

German Calendar for German and Dutch Power markets

Subject to testing and regulatory approval, NASDAQ OMX Commodities will convert to the German trading, clearing and margining calendars for the German and Dutch Power markets. The German Market will be open for trading on the Thursday prior to Easter as well as 17 May. Furthermore, the affected markets will be closed on the 3 October due to the German national holiday. Please note that clearing members who are active in several markets (i.e. in several currencies) must always cover their total margin requirements if any of their active markets are open. The product calendar will be updated to reflect these changes in due course.  If you have any questions, please do not hesitate to contact the Collateral Management team.

Automatic Give-up / Take-up functionality with margin limits

Subject to testing and regulatory approval, NASDAQ OMX Commodities will introduce Automatic Give-up / Take-up functionality in order to streamline procedures and improve risk controls for clearing members. This functionality will allow traders to specify Give-up information directly in an order or trade report transaction. Clearing members can now automatically accept Take-ups on behalf of themselves or their clients. Furthermore clearing members will be able to set margin limits on the Take-up account and specify counterparties that are allowed to register automatic Give-ups on the Take-up account. This functionality will be available in Trading Workstation, Clearing Workstation, OMNet API and FIX.

Inter Commodity Spread Credit to handle negative correlation

The current implementation of the Commodities margin methodology does not allow for Inter Commodity Spread Credit (ICSC) between two contracts (Tiers) with negative correlation.

This limitation will now be removed and improves the likelihood of ICSC taking effect, should historical correlation data and economic theory support such a credit. This improvement could increase margin efficiency for some clearing members. An example of where this offset could be achieved is a synthetic Area Price position (Base and EPAD contract) within the Nordic or German Power markets.

There will be no format changes to the SPAN® risk parameter file.

Mandatory upgrade of Clearing Workstation

Clearing Workstation is subject for mandatory upgrade due to the introducing of Automatic Give-up /Take-up functionality. Please see IT-Notice 30/14 for further information.

Member area for technical information

At all times, the member area contains the most up-to-date documentation regarding Genium INET protocol specifications, member applications, future enhancements and key projects. Further, all information regarding testing and certification for successful member, broker and Independent Software Vendor (ISV) integration can be found here.

 

For further information, please contact NASDAQ OMX Commodities:

Technical support (technical queries and support), phone +46 8 405 6400,     technicalsupport@nasdaqomx.com        

Member Services (logons, passwords, FIX, etc.), phone +46 8 405 6660, memberservices@nasdaqomx.com        

Marketplace, phone +47 6752 8037, desken@nasdaqomx.com

Clearing Operations, phone + 46 8 405 6880, clearing@nasdaqomx.com

Collateral Management team, phone +46 8 405 6881, cms@nasdaqomx.com

Risk Management, phone +47 67108426, clearing.risk@nasdaqomx.com

Member and Market Readiness Technical contact: Kestan Hasan, phone +46 8 405 6621 Kestan.hasan@nasdaqomx.com

 

Media contact:

Sara Aadnesen, Director Corporate Communications, phone +47 9060 0759, sara.aadnesen@nasdaqomx.com

 

About NASDAQ OMX

The inventor of the electronic exchange, The NASDAQ OMX Group, Inc., fuels economies and provides transformative technologies for the entire lifecycle of a trade - from risk management to trade to surveillance to clearing. In the U.S. and Europe, we own and operate 26 markets including 3 clearinghouses and 5 central securities depositories supporting equities, options, fixed income, derivatives, commodities, futures and structured products. Able to process more than 1 million messages per second at sub-40 microsecond average speeds, our technology drives more than 70 marketplaces in 50 developed and emerging countries, powering 1 in 10 of the world’s securities transactions. Our award-winning data products and worldwide indexes are the benchmarks in the financial industry. NASDAQ OMX is home to more than 3,300 listed companies with a market value of over $8 trillion, whose innovations shape our world. We give the ideas of tomorrow access to capital today. Welcome to where the world takes a big leap forward, daily. Welcome to the NASDAQ OMX Century. To learn more, visit www.nasdaqomx.com. Follow us on Facebook (http://www.facebook.com/NASDAQ) and Twitter (http://www.twitter.com/nasdaqomx). (Symbol: NDAQ and member of S&P 500)

 

About NASDAQ OMX Commodities

NASDAQ OMX Commodities is the brand name for the NASDAQ OMX Group’s worldwide suite of commodity related products and services. The NASDAQ OMX Commodities offerings include power, natural gas and carbon emission markets and clearing services. NASDAQ OMX Commodities is a trademark of the NASDAQ OMX Group, Inc.

NASDAQ OMX Commodities Europe is the trade name of NASDAQ OMX Oslo ASA which is authorized as a commodity derivatives exchange by the Norwegian Ministry of Finance and supervised by the Norwegian Financial Supervisory Authority. All trades with NASDAQ OMX Commodities Europe are subject to clearing with NASDAQ OMX Clearing.

NOS Clearing ASA is the leading clearing house for the freight market and a specialist clearing provider to the commodities markets. The company is wholly owned by the NASDAQ OMX Group Inc. The clearinghouse, which is situated in Oslo, has more than 300 members.

NASDAQ OMX Clearing AB is authorized and supervised as a multi-asset clearinghouse by the Swedish Financial Supervisory Authority in Sweden as well as authorized to conduct clearing operation in Norway by the Norwegian Ministry of Finance.

 

For more information, visit www.nasdaqomx.com/commodities

 

NASDAQ OMX's Cautionary Note Regarding Forward-Looking Statements

The matters described herein contain forward-looking statements that are made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about NASDAQ OMX's products and offerings. We caution that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements involve a number of risks, uncertainties or other factors beyond NASDAQ OMX's control. These factors include, but are not limited to factors detailed in NASDAQ OMX's annual report on Form 10-K, and periodic reports filed with the U.S. Securities and Exchange Commission. We undertake no obligation to release any revisions to any forward-looking statements.

 

This document is being directed solely at and may only be communicated to persons: (i) who have professional experience in matters relating to investments as defined in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "FPO") or, (ii) who are high net worth companies, unincorporated associations and trustees of high value trusts within Article 49(2)(a)-(d) of the FPO, or (iii) to whom it may otherwise be lawful to distribute it (all such persons together being referred to as "Relevant Persons"). Any investment activity to which this document relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.