Phelix Futures | Derivatives

Product description

The Phelix Future is a financial futures contract which refers to Spot Market prices for power – more specifically to the EEX Phelix Index – of future delivery periods. On the EEX Derivatives Market, Phelix Futures are traded for the current month, the next nine months, the next eleven quarters and the next six years. Base load and peak load futures are traded.

The underlying security is either the Phelix Base Load or the Phelix Peak Load.

Phelix – “Physical Electricity Index“

The Phelix Base Load Index is the average of all prices of the hourly auctions on the Spot Market of EEX for the German/Austrian market area. The Phelix Peak Load Index takes the hourly prices of the peak load times (08:00am until 08:00pm) from Monday until Friday into account.

Function

The Phelix constitutes the link between the Phelix Future and the physical Spot Market. The connection of the Phelix Future to the Phelix also facilitates hedging of existing power price risks with the help of this financial futures contract.

Advantages of trading in Phelix Futures

Highly liquid trading in Phelix-Futures
Securing of prices for the future (up to six years into the future)
Secure and professional settlement of the transactions
Legal, technical and financial security in trading
Neutrality through market surveillance and state supervision of the exchange
New volume-dependent pricing model

On average, the daily volume in the Phelix Future on EEX amounted to approx. 4.4 TWh (02 Jan. 2007 until 28 Dec. 2007). This shows that the Phelix Future has become a firmly established element of European power trading.

Participation

Trading in Phelix Futures with a license to trade on the exchange

A license to trade on the Derivatives Market is required for direct participation in exchange trading in Phelix Futures.

Trading in Phelix Futures without a license to trade on the exchange

Brokers and clearing banks provide easy access to participation in exchange trading without a license to trade on the exchange. A list of the clearing banks is available at this link.

Contract Specifications

	Derivatives Market
Contract	Future on the future average price of the Spot Market (Phelix)
Maturity	the current month, the following 9 months, 11 quarters and 6 years
Settlement	financial settlement (cash settlement)
Quotation	in €/MWh to two decimal points
Transaction fees	New, volume-dependent pricing model: exchange volume ≤ 1 TWh p.m. 0.01 €/MWh; exchange volume > 1 TWh p.m. 0.005 €/MWh exchange fee \| OTC volume ≤ 2 TWh p.m. 0.075 €/MWh; OTC vol. > 2 TWh p.m. 0.005 €/MWh \| 0.005 €/MWh clearing fee \| 0.005 €/MWh registration of OTC transactions