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SPA2 - Managing Swedish long-term interest rate riskNASDAQ OMX provides central counterparty clearing services for Swedish and Norwegian fixed income products.
The SPA 2 contract constitutes a valuable tool in managing Swedish long-term interest rate risk. The contract base is a synthetic 2-year bond issued by AB SPINTAB. The contract has standardized expiration days, i.e. IMM days. This means that liquidity is concentrated to a limited number of contracts, which benefits trading.
The contract is suitable both for directional trading as well as for spread trading, e.g. mortgage bond yield curve spreads like 2-year SPINTAB risk against 5-year SPINTAB risk or spreads against government bond futures. A combination of cash bonds and futures can also be used for creating short-term investments or financing. For the complete description of the contract specification please see OMX Nordic Exchange's Rules and Regulations.
Download product sheet: 2-year SPINTAB Bond Forward  Facts| Contract standard: | Forward contract with a combination of cash settlement and delivery of underlying cash instrument at fixing rate | | Contract base: | A 2-year synthetic bond with SPINTAB AB as issuer and with remaining maturity and coupon rate equal to the deliverable bond in each series. | | Deliverable instruments: | Bond issued by SPINTAB AB with terms that deviate as little as possible compared to the contract base at the Expiration settlement day. | | Contract size: | SEK 1,000,000 nominal value of underlying | | Tick size: | 0.001 | | Price quotation: | The forward contract is quoted in accordance with the underlying cash instrument market, effective interest rate with a 30E/360 day convention. | | Trading: | Trading is performed OTC and reported to the NASDAQ OMX Stockholm for clearing. Trading hours are in accordance with market practice in the Swedish fixed income market | | Expiration months: | March, June, September and December | | Expiration settlement day: | Third Wednesday of the expiration month | | First trading day: | One week before last trading day of the next contract scheduled for expiration. | | Expiration day/last trading day: | Four bank day prior the expiration settlement day | | Expiration fixing: | Established at expiration day 11.00 CET | | Periodic settlement: | Cash settlement of the difference between the trade price and monthly fix takes place on the last bank day of each calendar month. | | Registration: | 08.30 – 17.45 CET on normal bank days | | Last time for registration: | 12.00 CET at expiration day |
All information provided on this page shall be deemed to be general information regarding the instruments that can be traded at the exchange. For current rules for trade with the instruments we refer to the rules and regulations. Information on this page shall under no circumstances constitute any recommendation regarding investment decisions. The visitor shall be personally liable for the risks associated with any investment decision based on information on this page. Notwithstanding that the accuracy of the information provided herein has been verified, NASDAQ OMX assumes no liability with respect to the accuracy or use of such information. |
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