Emerging Market FX, Revealed

Transcription

1 EMERGING MARKETS CME FX: DEFINED BY YOU, DELIVERED BY US. Emerging Market FX, Revealed Get connected to daily market performance at cmegroup.com/dailyfx or subscribe to all our product news at cmegroup.com/subscribe Join the conversation at linkedin.com/company/foreign-exchange CME FX Link FX Options

2 Need to Know: The CME FX Franchise Trading Volume, (OI) & Participants Q2 FX Futures & Options 1.04 M contracts (up 17.7% YoY) H in Notional $111 B Q2 Average OI for FX futures and options 2.58 M contracts (up 8.03% vs 2017) Large Holders in FX Futures Totalling 1,177, up 15.2% YTD EM Listed FX Futures, YTD 2018 Emerging Market FX 40 % USD/CNH 428 % INR/USD BRL/USD MXN/USD RUB/USD 171 % 59 % 40 % 25 % We re working to deliver creative solutions to your most important challenges, so you can access the capital and margin efficiencies of our centrally-cleared and transparent market. That s why: We ve expanded our FX futures offering With monthly expiries on six pairs, all with implied liquidity, and now with CME FX Link which connects the OTC FX market with FX Futures electronically, for the first time. We ve expanded our listed FX options offering With Wednesday Weeklies, Volatility-Quoted Options (VQO) and Triangulation, we are now the only centralised all-all electronic FX Options marketplace in the world FX options marketplace in the world. We ve expanded our OTC FX clearing offering Clear NDFs, G10 NDFs (Cash-settled forwards) and new FX options. All under one Guarantee Fund. 2

3 TRADE $111BN Each day 55 FUTURES Monthly and Quarterly* 24 OPTIONS Wednesday and Friday* 1 FX LINK OTC FX & FX Futures, Linked 150+ Countries connecting CLEAR 11 NDFs 26 CSFs 7 CSOs REPORT A choice of trade reporting solutions and STP for certainty and compliance EFFICIENTLY Increased capital efficiencies Reduced execution costs Enhanced trading opportunities Committed to simplifying how you do business *Available on selected currency pairs $17.2 T in in Cleared Interest Rate Swaps As of COB September Leader in Emerging Market Clearing 219 participants across Brazilian Real, Mexican Peso, Chilean Peso, Colombian Peso, Indian Rupee, Korean Won & Chinese Yuan 24 Interest Rate Swap Currencies in Total Spotlight: The most capital efficient and comprehensive OTC FX clearing solution Single Guarantee Fund >$4.5 B Base Guaranty Fund incorporating all asset classes, resulting in a secure and cost-effective solution. FX Blending The first and only FX Blending Solution which significantly reduces notional outstanding and line items. FX Options A cleared cash-settled FX Options solution which provides better cost and capital efficiencies, compared to physically delivered options, which are cost prohibitive. Explore what we do and watch our video on FX blending: cmegroup.com/clearedfx 3

4 Need to Know: Focus on EMFX CME Group is the world s largest regulated FX marketplace, averaging $111B a day in H We offer 55 futures and 24 options across developed and emerging currency pairs, providing you with the most liquid and capital efficient FX futures and options in the market. CME Emerging suite of currencies includes: MXN, BRL, CLP, CNH, KRW, INR, RUB and ZAR these contracts allow you to manage your currency exposure around the world. In addition, considerable margin offsets are available against developed currency exposures as well as other asset classes traded at the CME. Benefits of trading emerging market futures Transparency and Best Execution CME is the largest regulated FX marketplace offering transparent, firm no last look execution with all participants treated the same. Pricing is not skewed by counterparty, credit status or trading style. As a result, trading on the CME all-all venue helps participants access broad liquidity pools and meet best execution requirements. Emerging Market Liquidity CME offers central limit order book pricing across the following EM pairs: INR, CNH, MXN, BRL, RUB, CLP, KRW, ZAR. This means we are the only global venue across Listed and OTC markets with the ability to execute these pairs on screen. CME markets have a diverse liquidity pool across client segments with a range of execution methods to optimise efficiencies. Market Access CME all-all markets provide a simple access model through our FCM network with subsequent pricing credit agnostic. This obviates the difficulties in negotiating and obtaining bilateral or FX Prime Brokerage relationships which may be harder to obtain for some participants looking to trade Emerging Market FX. Global Reach CME offer 23 hours a day trading across 55 FX Futures and 24 Listed FX Options allowing our global client base access to both our developed and emerging liquidity on one venue. Margin Efficient Trading Facing a central counterparty via Futures offers considerable margin benefits versus facing several bilateral counterparties. These benefits come from substantial netting opportunities obtained by facing a central counterparty as well as the lower 1-day margin period of risk on Futures. Additional margin offsets are available both within FX products and against other CME asset classes the ability to obtain efficiencies increases given the breadth of CME s FX offering and our global reach. Capital Efficient Trading Trading riskier assets and netting the resultant exposures against a central counterparty offer substantial capital savings. Additionally, these netting benefits are further supplemented by lower risk weighted asset multipliers (2% for CCP versus upwards of 20% OTC) and lower leverage ratio weightings as a result of facing a CCP. Operational Infrastructure CME FX Futures, accessed through the FCM model, provide an operational and regulatory wrapper to manage trading and operational needs. This negates the need for multiple documentation requirements, connectivity points and operational processes. 4

5 EMFX, Efficiencies: Offsets across FX and across Commodities AUD BRL CAD CLP CNH EUR HUF INR JPY MXN NOK NZD RUB ZAR BRL 30% 50% 25% 30% 20% 35% CLP 50% 45% CNH 45% 45% 30% 45% INR 35% 25% 30% 25% KRW 45% 30% 30% 30% 25% 44% MXN 30% 30% 45% 20% 30% RUB 20% 20% 20% 20% 20% ZAR 20% 35% 26% 25% 30% 30% 20% Brent Crude Oil WTI Crude Oil Gold Copper BRL CLP 30% CNH 40% 30% INR 20% KRW 30% MXN 30% 30% RUB 25% 25% ZAR 30% Get to know our EM franchise at cmegroup.com/emfx Follow the performance of all our FX products by subscribing to The FX Report for all the news, views and stats happening in our marketplace. Monthly, Quarterly, In print and online. Direct to your mailbox. cmegroup.com/fxtrending 5

6 USD/CNH U.S. Dollar/Offshore Chinese Renminbi Futures Now cash-settled with extensive margin offsets, and up 428% YOY Key Macro Facts China has been one of the fastest growing economies for the past two decades, and has the second highest GDP in the world. No other EM currency shows such tremendous growth potential in cross-border trade, international settlement or through Deposit/Growth of Denominated Assets. Key Stats Cash-settled and quoted in OTC interbank terms. Reaching 2.6K contracts a day. Up over 428% since becoming cash-settled, on 11 June Key Benefits Hedging and risk-management opportunities based on the offshore RMB curve. Multiple contract sizes allow for increased trading flexibility and broader market participation. Nearly 24-hour access to one of the world s fast growing currencies through CME Globex. Block-trading eligibility of standard size contracts, with maturities out three years to more effectively manage long term exposure. Capital efficiency of futures margins versus bilateral OTC FX products, plus cross margining opportunities with OTC. Trade cash-settled offshore Chinese Renminbi Futures at CME Group Available Now on the Platform You Want Standard Futures CME Globex: CNH Bloomberg: CHYA Curncy Reuters: 0#CNH: E-micro Futures CME Globex: MNH Bloomberg: MHYA Curncy Reuters: 0#MNH Key capital efficiencies and margin offsets 45% savings with Australian Dollar (AUD/USD), Euro (EUR/USD) and Japanese Yen (JPY/USD) 40% savings with Gold (GC) 30% savings with Indian Rupee (INR/USD) 30% savings with Copper (HG) Block Minimum Threshold: 10 Offshore Chinese Renminbi Futures (USD/CNH) Daily Volume & 1,200 3,000 1,000 2, , ,500 1, Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug MTD

7 INR/USD Indian Rupee/U.S. Dollar Futures Now deeper liquidity across all timezones, and up 171% YOY Key Macro Facts Solid growth prospects, attractive demographics, stable debt ratios and increasing currency reserves, which rose to $401 billion in August 2018 indicates that India continues to be on the upswing. The ratings upgrade by Moody s in November 2017 has further stimulated market interest in the Indian growth story. Key stats 2018 YTD average daily volumes rise by 171% compared to the same period in Increased liquidity visible in tighter bid-ask spreads across all trading hours. Increased participation from market participants across different customer segments and regions. Key Benefits Multiple contract sizes allow for increased trading flexibility and broader market participation. Significant margin offsets are available, with currencies and commodities. Trade cash-settled Indian Rupee Futures at CME Group Available Now on the Platform You Want Standard Futures CME Globex: SIR Bloomberg: SIRA Curncy Reuters: 0#SRI: Block Minimum Threshold: 10 Key capital efficiencies and margin offsets 35% savings with Australian Dollar (AUD/USD) 30% savings with offshore Chinese Renminbi (USD/CNH) 25% savings with Brazilian Real (BRL/USD) 25% savings with South African Rand (ZAR/USD) 20% savings with COMEX Gold (GC) E-micro Futures CME Globex: MIR Bloomberg: MIRA Curncy Reuters: 0#MRI: Participants can get attractive pricing for larger sizes via Block price makers who can price all maturities and who are available in all time zones. Indian Rupee Futures (INR/USD) and , , , ,

8 MXN/USD Mexican Peso/U.S. Dollar Futures Now even stronger liquidity in European Hours, and over $1.5B notional traded each day Key Macro Facts CME s Mexican peso futures and options offer market participants a means to take a view on one of the largest economies in the Americas. They offer a tool for global players to manage risks arising from Mexican central bank moves or a proxy for Central and South American markets. Key Stats CME MXN/USD futures and options are at of 70,000 contracts (at June 2018), up 34% YOY. Average daily open interest stands at over 200,000 contracts with growing participation from institutional traders. Over $1.5B notional traded each day. Key Benefits Tight bid-ask spreads across all trading hours by dedicated market makers providing liquidity across all time zones. Available on FX Link, the first electronic spread connecting the OTC FX & FX Futures Market. Trade Mexican Peso Futures at CME Group Available Now on the Platform You Want CME Globex: 6M Bloomberg: PEA Curncy Reuters: 0#MPSS: Block Minimum Threshold: 100 Also available to trade on FX Link cmegroup.com/fxlink Key capital efficiencies and margin offsets 45% savings with Chilean Peso (CLP/USD) 30% savings with Brazilian Real (BRL/USD), Canadian Dollar (CAD/USD), and South African Rand (ZAR/USD) 30% savings with Brent Crude Oil (BZ) and WTI Crude Oil (CL) 20% savings with Russian Ruble (RUB/USD) Mexican Peso Futures (MXN/USD) and , , , , , ,

9 BRL/USD Brazilian Real/U.S. Dollar Futures Now the largest off-shore BRL liquidity pool, and up 62.5% YOY Key Macro Facts Brazil has been attracting the attention of global investors for the past decade. Increased demand for goods and services from its growing middle class as well as its key player status in world exports of soybeans, corn, coffee and sugar have created opportunities. Investors will need efficient ways to capitalise on these opportunities and hedge risk. These include weather challenges to crops that may drive uncertainty. Key Stats Q average daily volume is 7,996, up 62.5% YOY. On 25 May 2018, a record high in open interest was reached at 53,221 contracts. Key Benefits CME BRL Futures are the largest off-shore liquidity pool. The BRL/USD futures contract is a liquid tool to manage currency exposure, with a number of on-shore and off-shore liquidity providers. Trade Brazilian Real Futures at CME Group Available Now on the Platform You Want CME Globex: 6L Bloomberg: BRA Curncy Reuters: 0#BRSS: Block Minimum Threshold: 50 Key capital efficiencies and margin offsets 50% savings with Chilean Peso (CLP/USD) 35% savings with South African Rand (ZAR/USD) 30% savings with Australian Dollar (AUD/USD) and Mexican Peso (MXN/USD) 25% savings with Indian Rupee (INR/USD) 20% savings with Russian Ruble (RUB/USD) Brazilian Real Futures (BRL/USD) and , , , ,000 20, ,

10 ZAR/USD South African Rand/U.S. Dollar Futures Now the largest off-shore liquidity pool for ZAR, and with the certainty of our clearing house Key Macro Facts In response to credit challenges in the forward market, and the beneficial capital efficiencies available in the futures market, more market participants are choosing futures to manage their FX risk and capitalise on the certainty of our marketplace. As a major exporter of raw materials including precious metals, the South African Rand is impacted by the volatility in commodity prices. Key Stats The 2018 YTD average daily volume through end of July is at 2,200 contracts. Open interest stands at 10,749 contracts over the same period. Key Benefits Liquidity is available on-screen or through a growing block market, which can be executed in trades greater than 50 lots. There are several new end-user participants joining our marketplace attracted by the credit and capital efficiencies of futures. Trade South African Rand Futures at CME Group Available Now on the Platform You Want Standard Futures CME Globex: 6Z Bloomberg: RAA Curncy Reuters: 0#RASS: Block Minimum Threshold: 50 Key capital efficiencies and margin offsets 35% savings with Brazilian Real (BRL/USD) 30% savings with Mexican Peso (MXN/USD) and New Zealand Dollar (NZD/USD) 26% savings with Canadian Dollar (CAD/USD) 25% savings with Indian Rupee (INR/USD) 20% savings with Australian Dollar (AUD/USD) and Russian Ruble (RUB/USD) South African Rand Futures (ZAR/USD) and , , , ,000 10, ,

11 RUB/USD Russian Ruble/U.S. Dollar Futures Now the largest off-shore RUB liquidity pool, and up 15% YTD Key Macro Facts Russia is a major producer of crude oil and both global crude oil production and prices are reflected in the movement of the Russian ruble. In the 39th issue of the Russia Economic Report published by The World Bank, Russia s economy is showing signs of recovery with projected growth of 1.5% in 2018 and 1.8% in 2019 and These growth projections, however, are sensitive to oil prices. Geopolitical developments, such as the recent U.S. economic sanctions on Russia, coupled with any change in oil prices may impact the ruble. Trade Cash-Settled Russian Ruble Futures at CME Group Available Now on the Platform You Want CME Globex: 6R Bloomberg: RUA Curncy Reuters: 0#RUSS: Block Minimum Threshold: 50 Key Benefits Tight bid-ask spreads across all trading hours by dedicated market makers providing liquidity across all time zones. CME s RUB/USD futures contract offers a useful tool for risk managers to hedge their currency risks. CME offers a venue to access Russian assets along with the benefit of facing a regulated, central counterparty with reduced credit risk. Key capital efficiencies and margin offsets 25% savings with Brent Crude Oil (BZ) and WTI Crude Oil (CL) 20% savings with Australian Dollar (AUD/USD), Brazilian Real (BRL/USD), Mexican Peso (MXN/USD), Norwegian Krone (NOK/USD), and South African Rand (ZAR/USD) Russian Ruble Futures (RUB/USD) and , , , , ,000 20, ,

12 CLP/USD Chilean Peso/U.S. Dollar Futures Now the only electronic liquidity on the CLOB for CLP Key Macro Facts The 2016 BIS Triennial survey indicates that volume in the U.S. Dollar/Chilean Peso cross grew by more than 200% over the last 10 years, reflecting the strong growth of the Chilean economy and its powerful commodity export business. Key Benefits Market participants can take advantage of the onshore and off-shore liquidity provided by a number of participants. Traded electronically and via blocks, the Chilean Peso futures contract is available to global participants looking for specific exposure to Chile. Trade Cash-Settled Chilean Peso Futures at CME Group Available Now on the Platform You Want CME Globex: CHP Bloomberg: PLCA Reuters: 0#1PHC: Block Minimum Threshold: 10 The largest off-shore venue for Chilean Peso FX Futures. Key capital efficiencies and margin offsets 50% savings with Brazilian Real (BRL/USD) 45% savings with Mexican Peso (MXN/USD) 30% savings with Copper (HG) Chilean Peso Futures (CLP/USD) and 350 4, , , , ,000 1,500 1, Jan 2017 Feb 2017 Mar 2017 Apr 2017 May 2017 Jun 2017 Jul 2017 Aug 2017 Sep 2017 Oct 2017 Nov 2017 Dec 2017 Jan 2018 Feb 2018 Mar 2018 Apr 2018 May 2018 Jun 2018 Jul

13 KRW/USD Korean Won/U.S. Dollar Futures Cash-settled and electronically traded with the certainty of our clearing house Key Macro Facts The 2019 Economic Survey of Korea published by the OECD in June 2018 has projected South Korea s economy to grow at 3% in 2018 and At the same time, the country s foreign exchange reserves rose from USD 240 billion to USD 397 billion in March 2018, equivalent to 24% of annual GDP, the ninth largest in the world and more than three times short-term foreign debt. However, the reserves have significant fiscal costs and entail foreign exchange risk. In terms of exports, South Korea s top trading partner is China followed by the United States. Korea is also the world s fifth largest crude oil importer and impacted by the price of oil. Key Benefits Traded electronically, the Korean Won futures contract provides an efficient means for global participants to manage their exposure to the Won. Trade Cash-Settled Korean Won Futures at CME Group Available Now on the Platform You Want CME Globex: KRW Bloomberg: KOA Curncy Reuters: 0#KWR: Block Minimum Threshold: 10 Key capital efficiencies and margin offsets 45% savings with Australian Dollar (AUD/USD) 44% savings with New Zealand Dollar (NZD/USD) 30% savings with Euro (EUR/USD), Canadian Dollar (CAD/USD) and Hungarian Forint (HUF/USD) 25% savings with Japanese Yen (JPY/USD) Korean Won/U.S. Dollar Futures (KRW/USD) and

14 Contract Specifications Contract Specifications (Standard Size) US Dollar/Offshore Chinese Renminbi Futures (USD/CNH) APAC Indian Rupee/US Dollar Futures (INR/USD) Mexican Peso/US Dollar Futures (MXN/USD) Contract Unit 100,000 USD 5,000,000 Indian rupees 500,000 Mexican pesos Minimum Price Fluctuation Outrights quoted in offshore Chinese renminbi per USD = 10 CNH per contract offshore Chinese renminbi per USD increments (5 CNH/contract) for USD/CNH futures intra-currency spreads executed electronically U.S. cents per 100 INR increments ($5.00/tick). Also, trades can occur in U.S. cents per 100 INR increments ($2.50/contract) for INR futures intra currency spreads executed on CME Globex. $ per Mexican peso increments ($5.00/contract). Trading Hours CME Globex Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. CME ClearPort Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. CT Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Product Code CME Globex: CNH CME Globex: SIR CME Globex: 6M CME ClearPort: CNH CME ClearPort: SIR CME ClearPort: MP Clearing: CNH Clearing: SIR Clearing: MP Listed Contracts 13 consecutive calendar months plus 8 March quarterly months (3-year maturity range) 12 consecutive calendar months plus 4 March quarterly months (2-year maturity range) Thirteen consecutive calendar months plus 2 deferred March quarterly cycle contract months Settlement Method Financially Settled Financially Settled Deliverable Settlement Procedures USD/CNH Futures Settlement Procedures INR/USD Futures Settlement Procedures Mexican Peso Futures Settlement Procedures Termination Of Trading Trading ceases at 11:00 a.m. Hong Kong time on 2nd Hong Kong business day immediately preceding 3rd Wednesday of the contract month (i.e., In Chicago, 9:00 p.m. CT on Sunday night during the winter and 10:00 p.m. CT on Sunday night during the summer). Trading terminates at 12:00 noon Mumbai time two Indian business days immediately preceding the last Indian business day of the contact month. 9:16 a.m. Central Time (CT) on the second business day immediately preceding the third Wednesday of the contract month (usually Monday). Exchange Rulebook CME 284L CME 279 CME 256 Position Limits Block Minimum Price Limit or Circuit For the most recent information, please visit cmegroup.com 14

15 LATAM EMEA Brazilian Real/US Dollar Futures (BRL/USD) Chilean Peso/US Dollar Futures (CLP/USD) Russian Ruble/US Dollar Futures (RUB/USD) South African Rand/US Dollar Futures (ZAR/USD) 100,000 Brazilian reals 100,000 USD 2,500,000 Russian rubles 500,000 South African rand $ per Brazilian real increments ($5.00/contract). Quoted in 0.01 Chilean Pesos per one USD (CLP 1,000) $ per Russian ruble increments ($12.50/contract). $ per South African rand increments ($12.50/ contract). Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Sunday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday when Globex closes at 4:00 p.m. CT and reopens Sunday at 5:00 p.m. CT. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday - Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday - closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. CT CME Globex: 6L CME Globex: CHP CME Globex: 6R CME Globex: 6Z CME ClearPort: BR CME ClearPort: CHP CME ClearPort: RU CME ClearPort: RA Clearing: BR Clearing: CHP Clearing: RU Clearing: RA Monthly contracts listed for 60 consecutive months. 12 consecutive calendar months plus a second year in the March quarterly cycle. Twelve consecutive (serial) contract months for the 1st year of maturity plus 16 additional March quarterly months covering a total maturity range of 5 years Deliverable Financially Settled Financially Settled Deliverable Thirteen consecutive calendar months plus two-deferred March quarterly cycle months BRL/USD Futures Settlement Procedures CLP/USD Futures Settlement Procedures RUB/USD Futures Settlement Procedures ZAR/USD Futures Settlement Procedures On the last business day of the month, at 9:15 a.m. CT, immediately preceding the contract month, on which the Central Bank of Brazil is scheduled to publish its final end-of-month (EOM), "Commercial exchange rate for Brazilian reais per U.S. dollar for cash delivery" (PTAX rate). Trading ceases at 9:15a.m. CT on the last Santiago, Chile business day of the month preceding the contract expiry month. 11:00 a.m. Moscow time on the fifteenth day of the month, or, if not a business day, on the next business day for the Moscow interbank foreign exchange market. 9:16 a.m. Central Time (CT) on the second business day immediately preceding the third Wednesday of the contract month (usually Monday). CME 257 CME 346 CME 260 CME 259 For the most recent information, please visit cmegroup.com 15

16 Contract Specifications Continued Contract Specifications (Standard Size) Korean Won/US Dollar Futures (KRW/USD) Contract Unit 125,000,000 Korean Won Minimum Price Fluctuation Trading Hours CME Globex CME ClearPort $ per Korean won increments ($12.50/contract) Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. CT Turkish Lira/US Dollar Future (TRY/USD) Polish Zloty/ Euro Cross Rate Futures (PLN/EUR) Czech Koruna/Euro Cross Rate Futures (CZK/EUR) 1,000,000 TRY 500,000 Polish Zloty 4,000,000 Czech Koruna Outrights = $ Spreads = $1.00 Sunday Friday 17:00 hours 16:00 hours Chicago time. Friday close at 16:00 CT and reopens at 17:00 CT on Sunday. Sunday Friday 17:00 hours 16:00 hours Chicago time. Friday close at 16:00 CT and reopens at 17:00 CT on Sunday euro per Polish zloty increments (10 euro) euro per Polish zloty increments (5 euro) for PLN/EUR futures intra-currency spreads executed electronically. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. CT euro per Czech koruna increments (8 euro/ contract) euro per Czech koruna increments (4 euro/ contract) for CZK/EUR futures intra-currency spreads executed electronically. Sundays: 5:00 p.m. 4:00 p.m. Central Time (CT) next day. Monday Friday: 5:00 p.m. 4:00 p.m. CT the next day, except on Friday closes at 4:00 p.m. and reopens Sunday at 5:00 p.m. CT. Sunday Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m. Product Code CME Globex: KRW CME ClearPort:KRW Clearing: KRW CME Globex: TRL CME ClearPort: TRL Clearing: TRL CME Globex: EPZ CME ClearPort: Z Clearing: Z CME Globex: ECK CME ClearPort: K Clearing: K Listed Contracts Thirteen consecutive calendar months plus two-deferred March quarterly cycle months Six months in March quarterly cycle (Mar, Jun, Sep, Dec) Six months in the March quarterly cycle (Mar, Jun, Sep, Dec) Settlement Method Financially Settled Deliverable Deliverable Deliverable Six months in the March quarterly cycle (Mar, Jun, Sep, Dec) Settlement Procedures KRW/USD Futures Settlement Procedures TRY/USD Futures Settlement Procedures PLN/EUR Futures Settlement Procedures CZK/EUR Futures Settlement Procedures Termination Of Trading Trading ceases on the second Seoul business day prior to the third Wednesday of the contract month at 3:30 p.m. Seoul local time. Trading terminate at 4:00 p.m. London time on the 2nd Business Day immediately preceding the third Wednesday of the contract month. Trading ceases at 9:16 a.m. Central Time (CT) on the second business day immediately preceding the third Wednesday of the contract month (usually Monday). Exchange Rulebook CME 271 CME 273 CME 317 CME 315 Trading ceases at 9:16 a.m. Central Time (CT) on the second business day immediately preceding the third Wednesday of the contract month (usually Monday). Position Limits Block Minimum Price Limit or Circuit For the most recent information, please visit cmegroup.com 16

17 Get to know the tools to help you trade EMFX at CME See Who Participates in FX Futures Markets Analyse information by client segment including dealer, asset manager and leveraged market participant using The Commitments of Traders tool. The tool charts the CFTC s report on market open interest released each Friday afternoon based on positions held during the prior Tuesday. Rolling FX Futures with Pace of the Roll Tool For open interest holders who prefer to carry positions in FX futures over time, the quarterly roll indicates the optimal liquidity period to roll a futures position forward from the expiring front month futures contract to the deferred month futures contract and therefore analyse and set their futures roll strategy. These charts are updated and available on a daily basis during the roll period. Calculate your margins with CME Core CME CORE is an interactive margin calculator that enables users to calculate and evaluate initial margin requirements for all CME Group products, and execute OTC efficiency analysis through additional analytics. FX Trading with CME Direct View or trade CME FX futures with CME Direct, a fast, secure and highly-configurable trading front-end. Benefit from the deep liquidity and transparency of CME Group markets and uncover new trading opportunities. To trade with CME Direct, you will need a relationship with a clearing FCM so contact you bank if you d like to get connected. FX data to help you simulate or back test your strategies Our new self-service cloud solution allows you to quickly and more efficiently access CME FX historical data in a more integrated and streamlined process, providing you with the data you need almost instantaneously. To access the full suite, visit cmegroup.com/fxtools

18 Go Further For more information, please contact: Paul Houston Head of FX, London Office Divay Malhotra London Office Ravi Pandit Singapore Office Craig LeVeille Chicago Office Matt Gierke Chicago Office Kevin McMillin Chicago Office cmegroup.com/fx 18

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20 CME GROUP HEADQUARTERS CME GROUP GLOBAL OFFICES 20 South Wacker Drive Chicago, Illinois Chicago New York London cmegroup.com Singapore Bangalore Beijing Belfast Calgary Hong Kong Houston São Paulo Seoul Sydney Tokyo Washington D.C Futures and swaps trading is not suitable for all investors and involves the risk of loss. Futures and swaps are leveraged investments, and because only a percentage of a contract s value is required to trade, it is possible to lose more than the amount of money initially deposited for a futures and a swap position. Therefore, traders should only use funds that they can afford to lose without affecting their lifestyles. And only a portion of those funds should be devoted to any one trade because they cannot expect to profit on every trade. The information and any materials contained in this fact card should not be considered as an offer or solicitation to buy or sell financial instruments, provide financial advice, create a trading platform, facilitate or take deposits or provide any other financial products or financial services of any kind in any jurisdiction. The information contained here is provided for information purposes only and is not intended to provide, and should not be construed as, advice. It does not take into account your objectives, financial situation or needs. You should obtain appropriate professional advice before acting on or relying on the information set out in this brochure. Exchange traded and Over-The-Counter (OTC) derivatives are not suitable for all investors and involve the risk of loss. Exchang- traded and OTC derivatives are leveraged investments, and because only a percentage of a contract s value is required to trade, it is possible to lose more than the amount of money initially deposited for an exchange traded or OTC derivative position. Therefore, traders should only use funds that they can afford to lose without affecting their lifestyles. And only a portion of those funds should be devoted to any one trade because they cannot expect to profit on every trade. The information within this presentation has been compiled by CME Group for general purposes only. The information contained in this brochure is provided as is and without any warranty of any kind, either express or implied. Although every attempt has been made to ensure the accuracy of the information within this presentation, CME Group assumes no responsibility for any errors or omissions. Additionally, all examples in this presentation are hypothetical situations, used for explanation purposes only, and should not be considered investment advice or necessarily the results of actual market experience. All data is sourced by CME Group unless otherwise stated. This communication does not constitute a Prospectus, nor is it a recommendation to buy, sell or retain any specific investment or to utilise or refrain from utilising any particular service. This communication is for the exclusive use of Eligible Counterparties and Professional Clients only and must not be relied upon by Private Clients who should take independent financial advice. Circulation should be restricted accordingly. The information and any materials contained in this brochure should not be considered as an offer, invitation or solicitation to buy or sell financial instruments, provide financial advice, create a trading platform, facilitate or take deposits, or provide any other financial products or financial services of any kind in any jurisdiction. CME, CBOT and NYMEX are each registered as a Recognized Market Operator in Singapore and authorized as Automated Trading Service providers in Hong Kong S.A.R. Further the information contained herein does not constitute the provision of direct access with any foreign financial instrument market or clearing services for foreign financial instrument market transactions defined under Japan s Financial Instrument & Exchange Act (Law No. 25 of 1948, as amended). This brochure is for distribution in Singapore solely to persons holding a capital markets services licence for trading in futures contracts or exempt from such requirements, and for distribution in Korea and Australia (ARBN Number: ) solely to professional investors, as defined in Article 9(5) of the Financial Investment Services and Capital Markets Act and related rules and in the Corporations Act 2001 (Cth) and related rules respectively, and circulation should be restricted accordingly. This brochure and its contents have not been reviewed or approved by any regulatory authority in Singapore. CME Group assumes no responsibility for any errors or omissions. This brochure is for distribution in Korea and Australia solely to professional investors, as defined in Article 9(5) of the Financial Investment Services and Capital Markets Act and related rules and in the Corporations Act 2001 (Cth) and related rules respectively, circulation should be restricted accordingly. None of the CME Group entities are licensed to carry on business in dealing or advising on futures contracts under the Securities and Futures Ordinance in Hong Kong. None of CME Group entities are registered or licensed to provide, nor does it purport to provide, financial services of any kind in People s Republic of China or Taiwan. CME Group is a brand of CME Group Inc. and its subsidiaries, members of which include Chicago Mercantile Exchange Inc. and CME Marketing Europe Limited. Chicago Mercantile Exchange Inc. is a Recognised central counterparty (CCP) under EMIR. Chicago Mercantile Exchange Inc. is a Recognised Overseas Clearing House (ROCH) recognised by the Bank of England. Chicago Mercantile Exchange Inc., Board of Trade of the City of Chicago and the New York Mercantile Exchange are Recognised Overseas Investment Exchanges (ROIE s) recognised by the Financial Conduct Authority. CME Marketing Europe Limited (FRN: ) is authorised and regulated by the Financial Conduct Authority in the United Kingdom. All matters pertaining to rules and specifications herein are made subject to and are superseded by official CME, CBOT, NYMEX, and CME Group rules. Current rules should be consulted in all cases concerning contract specifications. Issued by CME Marketing Europe Limited. CME Group is the trademark of CME Group, Inc. The Globe logo, Globex and CME are trademarks of Chicago Mercantile Exchange, Inc. CBOT is the trademark of the Board of Trade of the City of Chicago Inc. NYMEX, New York Mercantile Exchange, and ClearPort are trademarks of New York Mercantile Exchange Inc. COMEX is a trademark of Commodity Exchange Inc. All other trademarks are the property of their respective owners. These may not be modified, reproduced, stored in a retrievable system, transmitted, copied, distributed or otherwise used without the written permission of the party owning these materials. Copyright 2018 CME Group. All rights reserved. PM2196/1018