Nasdaq has launched futures on the OMX Sweden Small Cap 30 ESG Responsible Index as it seeks to enhance its offering in the Nordic region.
Alessandro Romani, vice president and head of European derivatives at Nasdaq, explained: “The new index future offering is part of Nasdaq Europe’s strategy to support investors with a liquid and diversified product for the Nordic region combined with our strong commitment to ESG.”
The solution is aimed at asset managers, retail investors and ETP issuers. According to Nasdaq, it will make it possible for investors to gain exposure in the Swedish small cap market and simplify investment strategies through consolidating a diversified portfolio of small cap stocks into a single instrument.
Specifically, the futures on the small index segment can be used as instruments for: cash management, hedging, and creating and trading ETPs and structured products.
In addition, the screening criteria allows investors to make decisions which are aligned with ESG outcomes.
Marcus Plyhr, portfolio manager at Norron Asset Management, said: “This is an excellent product that can be used in our long-only equity funds, as well as for hedging purposes in our absolute return funds. With this innovative setup and great liquidity, we will be able to hedge our funds in a better way than through any other relevant product existing on the market.”