- Eurex broadens its offering of derivatives on ESG indices with futures on Socially Responsible Investing (SRI) indices.
- Offering aims to serve new user groups with stricter ESG (environmental, social and governance) mandates.
- Futures on the following indices to be launched: STOXX Europe 600 SRI, MSCI SRI Europe, MSCI SRI USA, MSCI SRI World, and MSCI SRI EM.
Eurex will expand its equity-index linked product suite with futures on Socially Responsible Investing (SRI) indices, calculated by STOXX and MSCI, both strategic partners in Eurex’s offering of derivatives on ESG indices. The new derivatives contracts will use the STOXX Europe 600 SRI Index as well as MSCI’s SRI index suite, covering Europe, USA, World, and Emerging Markets.
Stricter ESG mandates
Contracts based on SRI indices will serve the growing demand for an advanced ESG methodology. SRI indices underlying Eurex’s new futures provide broad exclusions combined with a best-in-class selection approach. With now more than 500 funds tracking SRI indices, these indices have a long-standing history. The top 10 SRI ETFs account for more than $45 billion total assets under management.
Randolf Roth, member of the Eurex executive board, said in a statement: “Our offering will certainly appeal to new user groups that have stricter ESG mandates and need to invest responsibly, such as asset managers who invest on behalf of endowment funds or foundations.”
The product launch will be supported by a liquidity provider scheme, offering regular rebates and revenue sharing elements.