NASDAQ OMX Commodities (“NOMX”) is launching a OTC Liquidity Pool Program for its UK Futures contract during 2013.
The Program will provide a fee rebate to participating members that support the contracts through OTC channels and exceed specific monthly volume thresholds.
We welcome applications from all UK Power Futures participants before December 20th 2012 after which a selection procedure will take place for the two available slots.
The scheme will become active from January 1st 2013. A draft contract is available upon request with the broad terms set out below:
- Objective for Liquidity Provider: Monthly Volume requirement – to clear over 1TWh of UK Futures per month
- Objective for Liquidity Provider: Support the contracts by maintaining “competitive” buy/sell spreads in the OTC market
- Benefit towards Liquidity Provider: 100% NOMX fee rebate when the monthly volume target is met. If the target is not met normal fees willapply.
- Duration: To run for an initial term of 6 months thereafter a three month rolling notice period (i.e. minimum 9 months)
- Cancellation terms for Liquidity Providers: Liquidity providers may cancel the agreement with immediate effect via written notice
- Selection Criteria to be used by NOMX:
- Technical and operational capability to clear the NOMX UK futures
- General participation level in the UK Power curve market – ability to quote bid/offer spreads across the full range of NOMX UK Power Futures contracts
- Demonstration of UK Futures activity during 2012 based upon NOMX clearing records for the period
Please send your application to jason.hall@nasdaqomx.com by December 20th. A selection panel will sit on December 21st – all applicants will be informed of its decision on the same day.
For further information, please contact NASDAQ OMX Commodities:
Jason Hall, UK Business manager, phone: +46 8405 7848/+46 7 3449 7848 Jason.hall@nasdaqomx.com
Media contact:
Sara Aadnesen, Director Corporate Communication, phone +47 6752 8080/+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 US and Europe, we own and operate 24 markets, 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 speeds with 99.999% uptime, our technology drives more than 70 marketplaces in 50 developed and emerging countries into the future, 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. Home to approximately 3,400 listed companies worth $5.1 trillion in market cap 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.
NASDAQ OMX Clearing is the trade name of NASDAQ OMX Stockholm AB which 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
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