Settlement & Delivery for Danish Products
Cash settlement in DKK
Cash settlement deriving from contract events in Danish derivatives is settled through the Danish central bank, Danmarks Nationalbank in which NASDAQ OMX Derivatives Markets is a direct participant. If you trade and clear Danish options and futures, you are required to hold arrangements with a custodian bank which is a member of Danmarks Nationalbank.
Instructions for Danish payments must be entered into Danmarks Nationalbank Kronos system before the cut-off time at 11:00 am CET on the settlement day.
Delivery
Deliveries of Danish underlying equities which result from the exercise of Danish stock options and Danish stock futures are settled through the Danish CSD, VP. If you trade in Danish equity derivatives you must either be a direct clearing member in VP or have a custodian bank with clearing member status at VP. Settlement of Danish underlying equities is executed in accordance with VP rules: www.uk.vp.dk/
Delivery of Danish underlying equities takes place three days after exercise or assignment. To secure delivery in the underlying equity NASDAQ OMX Derivatives Markets holds margins during the delivery period.
Settlement schedule
Danish Products (DKK)
Products | Stock Options | Stock Futures | Index Options | Index Futures |
Premium | T+1 | | T+1 | |
Trade Fee | T+1 | T+1 | T+1 | T+1 |
Closing Fee | | | | T+1 |
Exercise / Assignment Fee | E+1 | | E+1 | |
Mark-to-Market | | Daily cash settlement | | Daily cash settlement |
DVP / Expiration Settlement | DVP E+3 | DVP E+3 | Cash settled E+1 | Cash settled E+1 |
Abbreviations:
T = Trade date
E = Expiration date
DVP = Delivery versus Payment
