FMDQ Advances Thought Leadership in the Derivatives Market, Launches “Q-Estimator”

Share This Article
Share on facebook
Share on linkedin
Share on twitter
Share on email

FMDQ Securities Exchange Limited (“FMDQ Exchange” or the “Exchange”) continues to play a pivotal role in the development of the derivatives market in Nigeria as it positions for the activation of innovative market offerings. The Exchange recently added a new offering to its universe of innovation with the launch of an automated hedging calculator – “Q-Estimator”, to equip market participants with a tool that aids strategic and informed investment decision making in the Nigerian financial markets, particularly the derivatives market. The Q-Estimator provides market participants the opportunity to estimate the total cost to be incurred at the point of purchase of derivatives contracts on the Exchange.

Derivatives are primarily risk management instruments used to hedge against financial exposures from unforeseen and unwanted fluctuations in the rates or prices of an underlying asset. In the global financial system, hedging products are market enablers, allowing businesses and investors around the world to invest freely, effectively hedge their risks and invariably contribute to economic growth.

The Q-Estimator, the first of its kind, aids trading simulation, wherein market participants simulate positions in the market to estimate profit or loss at a predetermined maturity date. The introduction of Q-Estimator will benefit all existing and prospective clients of the FMDQ Exchange-Traded Derivatives market, which include, but are not limited to, banks, fund/asset managers, insurance companies, corporate institutions, foreign investors, and individuals.

The launch of the Q-Estimator builds on the robust capacity development programmes that FMDQ Exchange continues to host, in preparing prospective investors for the launch of its Exchange Traded Derivatives products. Since activating the FMDQ Derivatives Market Development Project (the “Project”) in 2018, FMDQ Exchange, through the FMDQ Academy (the “Academy”) franchise, has organised series of bespoke training sessions, benefitting over 2,600 participants, including financial market regulators, financial institutions, relevant market associations, corporates, media practitioners, etc. These trainings are specially designed to address the diverse interests represented in the derivatives market and provide a holistic understanding of the market ahead of the imminent launch of the FMDQ Exchange-Traded Derivatives (ETD) market. The Exchange will continue to focus its efforts on facilitating the development of a thriving derivatives market, working assiduously to deliver innovative and critical market development initiatives, with the support of its stakeholders.

FMDQ Group is Africa’s first vertically integrated financial market infrastructure (FMI) group, strategically positioned to provide registration, listing, quotation and noting services; integrated trading, clearing & central counterparty, settlement, and risk management for financial market transactions; depository of securities, as well as data and information services, across the debt capital, foreign exchange, derivatives and equity markets, through its wholly owned subsidiaries – FMDQ Exchange, FMDQ Clear Limited, FMDQ Depository Limited and FMDQ Private Markets Limited. As a sustainability-focused FMI group, FMDQ Group, through FMDQ Exchange, operates Africa’s premier Green Exchange – FMDQ Green Exchange – positioned to lead the transition towards a sustainable future.

More Articles

FMDQ Group Concludes its 2024 Financial Literacy Summer Camp Programme, Empowering the Next Generation

FMDQ Academy Attains LPI and CPD Accreditations, Launches Capital Markets Course

Romco Recycling Company Limited Quotes ₦1.26 Billion Commercial Papers on FMDQ Exchange

FMDQ-OXFO Partnership
With innovative technology and strategic partnerships we create a new value network and redefine the cost structure for homeownership so that more people
FMDQ Sustainability Agenda
FMDQ, through its activities, aims to achieve sustainability in the areas it actively operates and impacts, as such, its Sustainability Strategy is guided by five (5) main Sustainability Pillars…

Dear Subscriber,

Thank you for your interest in staying connected with us! Before proceeding, please take a moment
to read and acknowledge the terms and conditions below:

1. Privacy Policy: Your privacy is important to us. We will handle your personal information responsibly and in accordance with our Privacy Policy. You can review our Privacy Policy here.

2. Email Communications: By subscribing, you consent to receiving email communications from us. These may include newsletters, product and service brochures, and other relevant updates.

3. Subscription Confirmation: You will receive a confirmation email shortly. Please click on the provided link to confirm your subscription. This step ensures your interest in receiving emails from us.

4. Unsubscribe Option: Every email communication you receive will include an option to unsubscribe. If you ever wish to stop receiving our email communications, you can do so by clicking the “unsubscribe” link at the bottom of the email.

5. Age Verification: By subscribing, you confirm that you are 18 years old or the legal age of majority in your jurisdiction.

6. Frequency: We strive to send you relevant content without overwhelming your inbox. You can expect to hear from us [weekly/monthly/occasionally], depending on our content schedule

Please check the boxes below to confirm your consent.
If you have any questions or concerns about our terms and conditions, kindly contact us at
[info@fmdqgroup.com]

Report

Get access to industry data and reports

Report

Get access to industry data and reports

Report

Get access to industry data and reports

Report

Get access to industry data and reports