Flexible Equity Derivatives

• Cross-margining: Cross margining with listed positions in the same underlying instrument leads to efficient use of capital. The same risk parameter applies for flexible contracts on underlying instruments with listed standardized options as for the standardized contracts.
• Efficiency: Central counterparty clearing and automated process mean operational efficiency in clearing, settlement and corporate action handling.
• Flexibility: Flexible derivatives can be tailored to a certain exercise price, expiration day, exercise style (American or European) or settlement type (physical or cash).
• Expiration settlement price: VWAP for indexes; closing price for stocks.
• Market information: Flexible derivatives are available for trading at Nasdaq Derivatives Markets. The trade-level market information is published.

Forwards, futures and options on:

• Single stocks where Nasdaq operates a market for listed derivatives for Swedish, Finnish, Danish and Norwegian stocks.
• Other single stock names occasionally approved by Nasdaq.
• Selected Nasdaq indexes such as OMXS30, OMXS30 ESG, OMXSB, OMXO20 and OMXC25.
• Custom-made indexes and stock baskets as agreed on a case-by-case basis.

Other types of instruments and contract bases may also be considered as Flexible Derivatives Contracts upon request. However, only customized financial instruments with an underlying security that has been subject to risk analysis (and formally confirmed and approved by Nasdaq) are eligible for clearing. Consult the list in the Resource Center.

List of eligible instruments including block sizes and deferral thresholds
 

The European Market Infrastructure Regulation (EMIR) requires clearing part of the OTC Derivatives at a CCP. The supervisory authorities determine which derivatives fall under the mandatory clearing.

Based on customer demand, the spectrum of eligible instruments for clearing at Nasdaq may be widened based on the EU regulation and decisions taken by the supervisory authorities.

The contracts are governed by the same trading and clearing rulebook as standardized contracts. The same Fee List for the Listed and Flexible Contracts.