HONG Kong Exchanges and Clearing Limited (HKEX) announced May 27 that its wholly owned subsidiary, Hong Kong Futures Exchange Limited, has signed a licensing agreement with MSCI Inc to license a suite of MSCI indexes in Asia and Emerging Markets for the introduction of 37 MSCI equity index futures and options contracts in Hong Kong.

The MSCI Asia and Emerging Markets futures and options contracts will include different index types (Net Total Return/Price Return) denominated across multiple currencies (USD, SGD, JPY). Following the introduction of the derivative contracts, HKEX will have the broadest suite of MSCI derivatives products based in the Asian time-zone.

MSCI’s equity indexes are tracked by more than US$13 trillion of assets worldwide, and this collaboration will further anchor HKEX and MSCI’s commitment to the global trading community and to their long-term product development and innovation programme in the region.

Charles Li, chief executive, HKEX says: "This agreement with MSCI comes at a time when Hong Kong's derivatives market is going from strength to strength and represents another significant development in continuing to build the breadth, depth and attractiveness of Hong Kong's vibrant financial markets."

The introduction of the 37 futures and options contracts remain subject to regulatory approvals and market conditions.