On November 8, 2012 NASDAQ OMX Armenia announced launch of new credit contracts market. From now on credit contracts with maturity of 7 days will be traded in the market. Later in 2013 credit contracts with longer and shorter maturities will be introduced to provide market participants with wide range of money market instruments, currently inlcuding also overnight credit resources traded since April 2010.
“This is another step towards expanding our offering to the market with the aim to pioneer development of new financial instruments. Now we support trading and clearing in equities, corporate and government bonds, foreign exchange, repo contracts, overnight credit resources and credit contracts”, Konstantin Saroyan, CEO of NASDAQ OMX Armenia said.
The new instrument is expected to create one of the largest markets operated by NASDAQ OMX Armenia.Along with overnight credit resources, it provides opportunities for more efficient and flexible asset management, as well as contributes to fair and transparent pricing of credit instruments in the market.
“Credit contracts market has a unique setup that combines anonymous automatch trading and centralized collateral management. Thanks to our development team now we are ready to offer this brand new product to the market”, Karen Zakaryan, Deputy CEO and project manager for credit markets said.
Armenian banks will be the participants in the credit contracts market, which will open 11:00am and close 1:00pm every business day. After close of the trading, a ten-minute post-trade session will be held, enabling participants to lend and borrow at average weighted interest rates established during the trading session.
Credit contracts trading data will be available at the “Market Data” section of NASDAQ OMX Armenia official website (www.nasdaqomx.am).