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as the Cboe France 40 index . Having this consistency / uniformity of index construction is important to market participants as it ensures they do not have to decipher multiple sets of index ground rules to understand how the indices are constructed .
Furthermore , from a futures and options contract design standpoint , Cboe is ensuring that its European derivative contracts encompass the feedback that participants have relayed , including right-sized index contracts for the Cboe Germany 30 index futures and options contracts with appropriately calibrated tick sizes .
Additional equity index and equity derivative products will be phased in over time , including single stock derivatives . Volatility products similar to the VIX for the European market could also be on the horizon for CEDX .
Partnering with the Industry on Innovation Client demand has been strong with increasing interest from dealers in CEDX ’ s new order book model . Ultimately , technology and market evolution is to the benefit of the end investor , as we have seen in the European equity markets which have undergone a significant amount of changes over recent years , increasing the amount of competition and advances in trading mechanisms . The support for CEDX ’ s new market model from a wide range of market participants is a sign of the appetite for an enhanced European equity derivatives market that benefits all participants .
Cboe ’ s Cordell added : “ We have had an extremely positive response to our vision for Cboe Europe Derivatives from participants across the trading community . These firms are excited by the prospect of a transparent , efficient , lit pan- European equity derivatives market , which will help to unlock its true potential and grow the market overall .”
32 // TheTRADE // Summer 2021