Hong Kong Exchanges and Clearing Limited (HKEX) plans to launch Weekly Hang Seng TECH Index Options on 2 September, subject to regulatory approval.
Weekly Hang Seng TECH Index Options are options that expire every week, supporting needs of investors to manage their positions in response to short-term risks and specific events. There will be two groups of weekly contracts, a spot week and next week, which will be offered.
HKEX will apply a market-wide 50 per cent trading fee discount on the new contracts until further notice. The Commission Levy will also be waived for the first six months upon the commencement of trading.
HKEX successfully launched Weekly Hang Seng Index Options and Weekly Hang Seng China Enterprises Index Options in 2019, with average daily volume (ADV) growing from about 6,000 contracts in 2020 to over 19,000 contracts so far this year.
The launch of Weekly Hang Seng TECH Index Options and the planned launch of weekly stock options later this year further enrich HKEX’s suite of derivatives products, and support our offering of short-dated options.
HKEX’s Hang Seng TECH Index derivatives product suite has become one of the most actively traded products since the launch of the futures contracts in 2020, with ADV growing from about 14,000 contracts in 2021 to over 116,000 contracts so far this year. Hang Seng TECH Index Options also reached a daily volume record of 31,577 contracts on 3 May 2024.
HKEX’s derivatives market set a record ADV of 1.35 million contracts in 2023, up 4 per cent from a year earlier. This momentum has continued into 2024, with ADV of 1.56 million contracts as of 31 May, up 13 per cent from a year earlier.
