Three African currencies to trade on JSE

THE JSE listed three African currencies on a new foreign exchange futures platformon Friday. The Nigerian naira, the Kenyan shilling and the Zambian kwacha made their debut on the JSE derivatives market where they will be quoted against the rand. The three currencies will fall under the JSE’s currency derivatives unit, incepted in 2007, allowing them to be traded with Group of 10 currencies of developed economies, including the dollar, euro and the pound. The JSE said it wanted to offer foreign and local investors, companies and fund managers doing business on the continent exposure to African economies in a relatively risk-free manner. “The message is simple: hedge your foreign exchange risk on the JSE and go and do your business,” said Andrew Gillespie, the head of futures at Tradition Futures, which partnered with the JSE and Barclays to launch the platform. The platform will allow participants to trade anonymously, with the JSE assuming the role of credit counterparty to all transactions. – Reuters