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ICE Futures Europe

Five Year Mid-Curve Options on Euribor ® Futures

Description

Option which delivers into the three months Euribor futures contract expiring in five years’ time.

Market Specifications

Trading Screen Product Name
Three Month Euro (Euribor) 5yr Mid-Curve
Trading Screen Hub Name
ICEU
Contract Symbol
K5
Unit of Trading
One Three Month Euribor Futures Contract
Contract Series
March, June, September, December, and four serial months, such that eight expiry months are available for trading, with the nearest six expiry months being consecutive calendar months.
Contract Standard
Assignment of one three month Euribor futures contract at the exercise price. The futures delivery month associated with each option expiry month shall be: March, the following five years, in respect of January, February and March expiry months; June, the following five years, in respect of April, May and June expiry months; September, the following five years, in respect of July, August and September expiry months; and December, the following five years, in respect of October, November and December expiry months.
Last Trading Day
Friday before the third Wednesday of the expiry month. On the Last Trading Day, trading in the expiring month will cease at 15:15.
Exercise Procedure
Exercise by 17:00 on any business day, brought forward to 16:00 on the Last Trading Day.

Exercise Price Intervals: 0.125, (i.e. 0.125%) e.g. 94.00, 94.125, 94.25 etc for all expiry months.

For all contract months:
A minimum of 13 Strike Prices in increments of 0.125 above and below the at-the-money Strike Price. The “at-the-money” strike price is the closest interval nearest to the previous business day’s settlement price of the corresponding underlying future. Strike Price boundaries are adjusted according to futures price movements. User-defined Strike Prices are allowed in 0.125 increments.
Delivery Date
Delivery on the first business day after the exercise day.
Minimum Price Fluctuation
0.0025 (€6.25)
Algorithm
Central order book applies a gradual time based pro-rata (GTBPR) matching algorithm with a time-weighting of 1 (ie the algorithm is effectively a priority pro-rata matching algorithm) with priority given to the first order at the best price subject to a minimum order size (collar) and limited to a maximum order size (cap).
Wholesale Trade Types
Block Trading, Asset Allocation
Minimum Volume Thresholds can be found here
Additional Information
Potential users of the Options on Euribor Futures Contracts should familiarize themselves with the terms of these contracts and with the terms of the Underlying Futures Contract.
Option Premium
The contract price is not paid at the time of purchase. Option positions, as with futures position, are settled-to-market daily giving rise to positive or negative variation margin flows. When the Buyer exercises/abandons an option, the Buyer is required to pay the original contract price to the Exchange's Clearing Houser (CH) and the CH will pay the original option price to the Seller on the following business day. Such payments will be netted against the variation margin balances of Buyer and Seller by the CH.
Disclaimer
EURIBOR-EMMI makes no warranty, express or implied, either as to the results to be obtained from the use of EURIBOR and / or the figure at which EURIBOR stands at any particular time on any particular day or otherwise. EURIBOR - EMMI makes no express or implied warranties of merchantability or fitness for a particular purpose for use with respect to the product and excludes all liability for any loss of business or profits or for any direct, indirect or consequential loss or damage arising from use of the EURIBOR.
MIC Code
IFLL
Clearing Venues
ICEU

Trading Hours

CityTradingPre-Open
New York2:00 AM - 12:00 PM
02:00 - 12:00

London7:00 AM - 5:00 PM
07:00 - 17:00

Singapore3:00 PM - 1:00 AM
15:00 - 01:00

Codes

Clearing Admin Name
O-STIR Euribor
Physical
K5
Logical
I
GMI (FC)
ION A.C.N.
Symbol Code
K5