I F E X

Event Linked Futures

“… London, the centre of the international insurance industry, is collaborating with Chicago, the world centre of exchange traded derivatives…” 

On Friday September 21st 2007 IFEX (Insurance Futures Exchange Services Ltd) launched a market in exchanged traded, cleared and margined insurance based derivatives. Its first products are  Event Linked Futures (ELFs) for US Tropical  Wind. Contracts are for the calendar years 2008 and 2009 risk periods. ELFs are modelled on Indusry Loss Warranty reinsurance policies, but are contracts for difference, rather than reinsurance policies.  Initially 'First Event' contracts have been listed, but Second Event contracts will be introduced in due course. Later IFEX plans to list ELF contracts for other catastrophe zones and perils in addition to US hurricanes and tropical storms affecting the United States. 

IFEX is collaborating with Deutsche Bank to develop this new derivatives market.

The trading platform is the Chicago Climate Futures Exchange (CCFE), a Commodity Futures Trading Commission (CFTC) designated contract market.

IFEX is part of the Climate Exchange Plc group. Sister companies of IFEX include the European Climate Exchange (ECX) and the Chicago Climate Exchange (CCX). CCFE is a subsidiary of CCX.