CHICAGO, Feb. 6, 2024
/PRNewswire/ -- CME Group, the world's leading derivatives
marketplace, today announced that its interest rate complex will
expand in summer 2024 with the launch of U.S. Corporate Bond Index
futures, pending regulatory review.
The new futures contracts will be based on the Bloomberg U.S.
Corporate Index, which measures the performance of investment grade
corporate bonds, and the Bloomberg U.S. High Yield Very Liquid
Index, which is designed to measure a liquid, diversified component
of the high yield corporate bond market.
"As corporate debt issuance continues to increase across
sectors, market participants are looking for tools to help them
navigate growing credit exposure," said Agha Mirza, CME Group Global Head of Rates and
OTC Products. "Our new U.S. Corporate Bond Index futures will bring
clients the speed and precision they need to manage risk and pursue
opportunities in the market, while gaining capital efficiencies
through portfolio margining."
"Bloomberg Indices is proud to be at the forefront of advancing
the evolution of credit markets and we're excited to be working
with CME Group to bring this new offering to market," said
Umesh Gajria, Global Head of Index
Linked Products, Bloomberg Index Services Limited. "The launch of
listed futures on the Bloomberg U.S. Corporate Bond Indices is
intended to provide investors with the ability to more accurately
and efficiently gain exposure to the corporate bond market and
hedge their credit risk."
Available to trade on CME Globex and eligible for submission to
clearing via CME ClearPort, U.S. Corporate Bond Index futures
will be listed with, and subject to, the rules of a Designated
Contract Market at CME Group. These contracts will also receive
automatic margin offsets against existing CME Group Interest Rate
and Equity Index futures upon launch.
For more information, please visit www.cmegroup.com/credit.
As the world's leading derivatives marketplace, CME Group
(www.cmegroup.com) enables clients to trade futures, options, cash
and OTC markets, optimize portfolios, and analyze data – empowering
market participants worldwide to efficiently manage risk and
capture opportunities. CME Group exchanges offer the widest range
of global benchmark products across all major asset classes based
on interest rates, equity indexes, foreign
exchange, energy, agricultural
products and metals. The company offers futures and
options on futures trading through the CME Globex platform, fixed
income trading via BrokerTec and foreign exchange trading on the
EBS platform. In addition, it operates one of the world's
leading central counterparty clearing providers, CME
Clearing.
CME Group, the Globe logo, CME, Chicago Mercantile Exchange,
Globex, and E-mini are trademarks of Chicago Mercantile Exchange
Inc. CBOT and Chicago Board
of Trade are trademarks of Board of Trade of the City of Chicago, Inc. NYMEX, New York
Mercantile Exchange and ClearPort are trademarks of New York
Mercantile Exchange, Inc. COMEX is a trademark of Commodity
Exchange, Inc. BrokerTec is a trademark of BrokerTec Americas LLC
and EBS is a trademark of EBS Group LTD. The S&P 500 Index and
the S&P 500 Dividend Points Index (Annual) are products of
S&P Dow Jones Indices LLC ("S&P DJI"). "S&P®", "S&P
500®", "SPY®", "SPX®", US 500 and The 500 are trademarks of
Standard & Poor's Financial Services LLC; Dow Jones®, DJIA® and
Dow Jones Industrial Average are service and/or trademarks of Dow
Jones Trademark Holdings LLC. These indices and trademarks have
been licensed for use by Chicago Mercantile Exchange Inc. Futures
contracts based on the Indices are not sponsored, endorsed,
marketed, or promoted by S&P DJI, and S&P DJI makes no
representation regarding the advisability of investing in such
products. All other trademarks are the property of their respective
owners.
CME-G
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SOURCE CME Group