WSE to introduce futures contracts on shares of Budimex and Dom Development

The Warsaw Stock Exchange (WSE) will introduce futures contracts on the shares of companies on September 18: Budimex Group, Dom Development and Inter Cars, the WSE said. Three series each expiring in December 2023 and in March and June 2024 will be introduced to trading.

Each Budimex Group and Inter Cars futures contract will have 10 shares, and each Dom Development futures contract will have 100 shares. Liquidity for the new instruments will be supported by Bank Handlowy in Warsaw and Raiffeisen Bank International, and in the case of the Budimex Group stock futures, also by Trigon Dom Maklerski, it said.

"We are systematically developing the WSE's offer on the derivatives market and are ready to quickly introduce new futures contracts to trading, provided there is strong investor interest in the underlying instrument and cooperation with a market maker. At the same time, we strive to respond to the current needs of investors in terms of the size of contracts already listed on the WSE," said WSE board member Izabela Olszewska.

At the same time, due to Kruk's recently rising share price, the WSE will reduce the multiplier for the newly introduced futures contracts on its shares. Along with the new contracts, a new series of Kruk stock futures will be introduced on September 18, with a multiplier of 10 shares instead of 100. This change is aimed at lowering the entry threshold for retail investors thanks to a 10 times lower margin level, it stressed.

As of September 18, the WSE will offer a total of 43 futures contacts for shares of individual companies, it concluded.

Source: WSE and ISBnews