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Blog Posts — November 6, 2023

Eurex to launch DAX daily options, following EURO STOXX 50 offering

Eurex will list daily options on Germany’s DAX® benchmark on November 13, following the successful introduction in August of daily options on the EURO STOXX 50®.

Daily options are an innovative product that allows traders a more targeted exposure than the traditional monthly and quarterly expiries, providing increased flexibility to trade and hedge short-term market fluctuations. They are also the latest tools in a comprehensive investment ecosystem centered around DAX and EURO STOXX 50, the iconic benchmarks. 

According to Eurex, the benefits of daily options include:

  • Fast reaction to market movements: Daily options allow market participants to react to sudden market moves and finetune positioning around events such as the publication of key economic figures. 
  • Affordability: The lower time value makes daily options cheaper than longer-dated alternatives. 
  • Accurate implementation of strategy: With daily expiries and a wide range of available strikes, investors can accurately implement specific views and strategies.

In a recent interview on this blog, Eurex CEO Michael Peters said demand for daily options is “testament to the huge appetite for flexible trading solutions as investors seek to react quickly and precisely to specific market events.”

Within the first two months of trading, more than 670,000 EURO STOXX 50 daily options were traded on the Frankfurt-based exchange.[1] The instruments’ open interest has exceeded the 20,000-contracts mark. More than 60 members have taken part in trading EURO STOXX 50 daily options. 

Daily options will be the subject of a live Focus Day event organized by Eurex on November 9, which is open to the public for registration. 

An average of 20 million EURO STOXX 50 options and 1.5 million DAX options trade per month on Eurex.[2]

[1] Figures between trading start on Aug. 28, 2023 and Nov. 3, 2023. 

[2] Based on 2023 figures through September.