Important Trading Information

Bond trading (general)

Bond trading (general)

Trading hours for:
bonds08:00 – 18:00 hours CET
capital protection products with coupon09:00 – 18:00 hours CET

Please note that closing prices may be established as early as 17:45 hours CET.

German government bonds (Bunds):

Standard price determination for all German federal government bonds (Bunds) takes place daily from 11:00h CET with involvement from the Deutsche Bundesbank. These price determinations bear the ‘cash market’ order type qualifier (KS/spot market auction).

Foreign currency bonds:

All foreign currency bonds are settled in euro.

To increase pre-trade transparency, since 1 February 2013 binding rules have applied to the conversion of bonds denominated in foreign currencies to euro.

Foreign currency bid and ask prices are generally fixed every thirty minutes on the basis of the interbank foreign exchange trading* rates. The quality liquidity provider (QLP) is obliged to determine the settlement rate within the fixed exchange rate spread.

Please bear in mind that sales (purchases) will be executed at the fixed foreign exchange bid price (ask price) or lower.

*plus the maximum discount/premium per currency pair determined by the Management Board.

Trading currencyCountry*Discount-/premium total
EURGBPGreat Britain0,002
EURNZDNew Zealand0,004
EURZARSouth Africa0,04
EURCZKCzech Republic0,04
EURHKDHong Kong0,01
EURCNY (EURCNH**)China0,02
Stand: 14.08.2015

**For trading in CNY (renminbi), the foreign currency price is fixed every half hour on the basis of CNH (offshore renminbi).

Current and historical fixed exchange rate margins can also be obtained by phone from Customer Support.

Free hotline: 0 800 / 2 26 88 53

International calls: +49 (0)711 / 222 985 579

Unusual market situations:

ratG – fixed-income securities *

Trading in fixed-income securities on the Stuttgart Exchange is conducted according to the ‘continuous auction’ principle. This means that, for every order book situation in which transactions can be transmitted from the trading system, an auction is initiated in the relevant securities class.

All orders existing at this time are taken into account. The quality liquidity provider (QLP) tries to compensate for any imbalances by providing liquidity. The QLP normally either obtains the liquidity from market makers or on other markets, or provides it itself.

The trading system determines the exchange price according to a specific pricing algorithm.

In rare cases, the QLP cannot provide the necessary liquidity, and the trading system cannot calculate an exchange price without further liquidity. These situations often occur with sold-out products, and are characterised by an extreme imbalance between buy and sell orders within the spread between the bid and ask prices.

An example of this is where there is an extremely high level of demand for a product that is sold out, and a very low supply of that product. The aim is to ensure that buyers’ orders are not executed in very small quantities – which, based on the execution price and the countervalue, would not justify the fees to be paid (uneconomical allocations) – while also ensuring that execution is possible for sellers. In this case the rules allow the QLP to provide liquidity in a special way after consulting the Trading Surveillance Office. Contrary to the auction principle, the QLP can now ignore the demand from other customers when providing liquidity, and only ensure execution for sellers. The trading system then calculates a price with the ‘ratG*’ order type qualifier.

Although this rule appears to leave buyers at a disadvantage, you actually benefit from it. Your orders are not executed in very small quantities, as these would not be economical for you. With these price determinations, the QLP pools liquidity in the securities class concerned and can normally perform an economical allocation at a later time. However, in the rare cases in which no additional sell orders can be executed, the buyers do not receive any allocation.

Sellers have the advantage that their orders are executed immediately.