HHI on HKFE?

[Jocke]

On IB website today:

"Effective December 8: Trade Newly Listed Product HHI on the HKFE Commission Free Until Deceber 31, 2003."

HHI = HANG SENG CHINA ENTERPRISE INDEX

I have searched the HKFE website but didn't find any info.

Anyone trade this contract? Any volyme?

Considering this is a "China-based" index volatility should be huge?

 

[def]

Quote from Jocke:

On IB website today:

"Effective December 8: Trade Newly Listed Product HHI on the HKFE Commission Free Until Deceber 31, 2003."

HHI = HANG SENG CHINA ENTERPRISE INDEX

I have searched the HKFE website but didn't find any info.

Anyone trade this contract? Any volyme?

Considering this is a "China-based" index volatility should be huge?

http://www.hkex.com.hk/index.asp?id=futures/futuresproduct/hhi_fut.htm

Or click on the H-Share banner on the top right of the exchange web site.

volume for the first day was around 1370 futures which is pretty good by HKFE standards. Good thing was that there was a constant market throughout the day only a few ticks wide. this one could be a winner. Note, the contract is not CFTC approved and thus US residents can not trade it.

 

[Jocke]

Quote from def:



http://www.hkex.com.hk/index.asp?id=futures/futuresproduct/hhi_fut.htm

Or click on the H-Share banner on the top right of the exchange web site.

Thanks def! I don't know why I couldn't find it before. My wife constantly complains about me not finding things, maybe she's got a point.

How come that IB can offer commission free trading? I didn't see IB among the exchange participants offering incentive programmes.

The HHI seem to be positioned between the MHI (mini) and HSI (big) in terms of multiplier and marginrequirement.

Quote from def:

this one could be a winner.

What do you mean?

I will check this one out. Living in Europe the CFTC will not be a problem, however the tradinghours will! Any chance this will be CFTC-approved? That would bring volume to tha table.

Check out this baby! http://www.hkex.com.hk/csm/indexMoveC.asp?LangCode=en&mkt=hk&StockCode=HSCEI

 

[FX-Trader]

www.interactivebrokers.com/cgi-pub/exchange_display.pl?file=HKFE.html (symbol)
www.interactivebrokers.com/cgi-pub/margin_amer.pl (margin)

 

[def]

Quote from Jocke:



How come that IB can offer commission free trading? I didn't see IB among the exchange participants offering incentive programmes.

Unbelievable, that they leave us off the list but I don't expect much else from this bureaucratic bunch - they even "urged" me to attend the opening ceremonies yesterday at the exchange. There reasoning much be that since Interactive Brokers is not an exchange member, they can't mention us on their site. This is pretty silly since our affiliate, Timber Hill is one of their most active members. We actually paid for some sponsorship to assist them with promoting the product. Outside of that, any firm choosing to eat their costs are welcome to do so. We chose to do that for a month and thus are offering them for free.

Also by a winner I mean the HKFE has a horrendous record of listing products. Poor marketing (read above - had to get that dig in), bad choice of products or specs, lack of interest etc. This index is a nice benchmark for China which could thus attract significant institutional and retail flow. One caveat, yesterday the exchange gave out grocery coupons for the first 800 trades. They are gone now so I can only hope the retail flow doesn't run away

 

[juggernaut]

Hi Def,
I've been looking at the HSI, charting it through the TWS API
IB doesn't appear to provide volume for it making it impossible
for me to emulate tick charts. Is this going to change?


Do you know any place to get free historical tick data for the HSI?

And lastly, can you tell me when the rollover dates are for
the HSI, are they the same as US futures?


Thanks
Juggernaut

 

[capitalMan]

it's up 4% today as of now..

may have

caused the HSI to jump up 100 points in less than a minute..

hope the volume picks up quickly..

it's definitely not liquid enough for trading at the moment..

def..may be IB could consider extending the comission offer till

volume picks up, I don't see that happening a month..

 

[capitalMan]

by the way..


def..may I ask what sort trading IB/ or yourself do on the HSI?

 

[zentrader]

Quote from vegasoul:

it's up 4% today as of now..

may have

caused the HSI to jump up 100 points in less than a minute..

yeah, i got 29 points slippage on a buy stop this morning. Sharp spike yesterday too.

 

[def]

Quote from juggernaut:

Hi Def,
I've been looking at the HSI, charting it through the TWS API
IB doesn't appear to provide volume for it making it impossible
for me to emulate tick charts. Is this going to change?


Do you know any place to get free historical tick data for the HSI?

And lastly, can you tell me when the rollover dates are for
the HSI, are they the same as US futures?


Thanks
Juggernaut

we provide last trade and bid ask volume but not total on the TWS. I'll have to ask about making it available to the API (there might be some legal issues).

Data: don't know. the exchange sells it for 100 HK per month (13 US), perhaps try bloomberg or reuters or other data providers.

Rollover: the last trading day is the next to last business day of the month. There isn't really a specific rollover date as the front month remains active (usually deep and liquid roll markets keep things in line) until expiration AM. I'd suggest to roll/start to trade with a new front month 2 days before expiration.