- WSE has decided to continue the listing of WIG20 futures contracts with a multiplier of PLN 20
- WSE’s decision follows analyses and broad consultations with market participants
The Management Board of the Warsaw Stock Exchange intends to continue the listing of WIG20 futures contracts with a multiplier of PLN 20. Before making the decision, the Exchange carried out broad consultations with market participants including market makers, brokers, and investment funds.
“We care about the stability and predictability of activities of the Exchange; consequently, we have decided to maintain the multiplier of PLN 20 for the WIG20 futures contracts following an in-depth analysis of the situation as well as consultations both with domestic and international market participants including experts on the Derivatives Market Committee. In the past few months, we have monitored several key parameters which have helped us to make the decision,” said Grzegorz Zawada, Vice-President of the Management Board of the WSE.
The Exchange has analysed the contracts with a multiplier of PLN 20 from the perspective of several variables including the value of trading, the number of open interest (“LOP”), and the ratio of the value of trading in WIG20 contracts to the value of trading in WIG20 shares (“DLR”). A positive performance of the parameters has supported the decision to continue the listing of the contracts with the higher multiplier, especially considering that the average daily trading volume exceeded our expectations. The higher multiplier is also important to bigger investors as they may more easily take a position of a greater value.