ISE now lists FX options on 10 currency pairs. The US dollar based currency convention is available for all 10 pairs and allows investors to express their views on the strength or weakness of the US dollar relative to global currencies while adopting the trading strategies they currently use for equity and index options.
The currency convention, which is the inverse of the US dollar based convention, is the traditional convention used in the FX spot market and is available on four currency pairs.
Kris Monaco, director of new product development at ISE, said: “We are very pleased to diversify our FX options product suite with the launch of our tenth currency pair.
“Brazil is one of the most important emerging market economies in the world, and for the first time investors will be able to use their existing securities accounts to hedge their exposure to the Brazilian real by trading an exchange-listed, centrally cleared, cash-settled options product. As with all of our other FX Options products, investors will also be able to use complex order types including spreads up to four legs.”
