Australian Securities Exchange (ASX) will implement a new fee schedule for interest
rate futures and provide volume discounts for OTC clearing from 1 October.
new schedule reduces fees, which have not been changed during the last decade.
said that the double move is because its clients tend to use exchange-traded
and OTC interest rate products in tandem.
current fee for Australian dollar interest rate futures that are transacted on
the exchange is A$0.90 cents per contract. The new fee schedule links the fees
that clearing participants pay for their house business to the volume of
Australian dollar interest rate futures and the OTC clearing activity that they
transact with ASX. The fee discounts increase as participants transact higher
lowest available fee for incremental house volume will be A$0.30, which is applicable
to customers who trade in excess of 2 million sides in interest rate futures
and clear in excess of A$100 billion OTC interest rate swaps in a single
quarter. This represents a potential saving on those trades of 60 cents or 67%.
are the largest single contributor to ASX revenue, accounting for A$197 million
(32% of total group revenue). Within that figure, interest rate futures account
for the majority of traded volumes.
has the world’s fifth largest markets for both exchange-traded interest rate
futures and OTC interest rates.