Bespoke Trading Services

NZCX recognises that some clients may wish to trade unit types other than NZUs or CERs. Clients may also wish to implement a structured deal or Option arrangements that can be facilitated by NZCX.   

Introduction

NZCX fully understands the different unit and transaction types that clients may wish to trade. Our bespoke service is targeted at the following:

  • NZ AAUs from the Permanent Forest Sink Initiative (PFSI) for domestic or offshore sale.
  • NZ AAUs converted from the NZ ETS forestry for offshore sale.
  • NZ AAUs received under a Negotiated Greenhouse Agreement (NGA).
  • NZ AAUs from Projects to Reduce Emissions (PRE) for domestic or offshore sale.
  • NZ ERUs from Projects to Reduce Emissions (PRE) under JI Track 1 for domestic or offshore sale.
  • International ERUs from JI projects.

While NZU and CER prices provide benchmarks for these unit types and trades, their rarity requires specific expertise.  Likewise NZCX can help facilitate Option contracts on forward sales or delivery for our clients.

Bespoke Trading Requirements

Unit Availability
  • Units to be sold on a spot basis must be held in the sellers NZEUR holding account or an international registry which is linked through the International Transaction Log (ITL).
  • For forward physical transactions where units are not already held, the seller must be able to demonstrate on request how they plan to source units.

 

Minimum Volume per Trade (parcel size)

For spot transactions:

  • 5,000 NZ AAUs or NZ ERUs
  • 10,000 international ERUs

 

For physical forward transactions:

  • 20,000 NZ AAUs or NZ ERUs
  • 50,000 international ERUs

 

Settlement

Timing of transfer of units and funds will be dependent on the agreed settlement date(s).

NZCX's escrow service is available for spot transactions.

 

How much does it cost?

NZCX charges a volume-related transaction fee.

 

How to trade with NZCX

Client requirements are set out clearly in our engagement checklist.