Russian Trading System has launched futures on two and four year baskets of federal loan bonds on its Futures and Options segment.

They are Russia’s only exchange-tradable long term interest rate futures. The bourse says the contracts will allow market participants to manage a portfolio of debt instruments and hedge against interest rate risks on the longer segment of the yield curve.

RTS’s two short term interest rate futures, on the Moscow Prime and MosPrime Overnight rates, do not enjoy significant trading. The Moscow Interbank Currency Exchange – soon to be merged with RTS – lists Three Month MosPrime Futures, but these are still more illiquid.

Fees for the contracts are as follows: Buy or sell contract: Rb0.50 (2¢) Scalper trade: Rb0.25 Registration of bilateral trade: Rb0.50 Clearing fee/settlement arrangement: Rb10