StoneX Group’s subsidiary StoneX Financial will now give clients access to a full suite of physically deliverable environmental futures and options contracts via the Nodal Exchange.
The move will allow StoneX Financial’s clients to adopt and maintain environmentally conscious business practices, manage risk effectively and achieve regulatory compliance.
StoneX said the contracts span markets including sustainable energy, carbon emissions, renewable fuels, and pollutants such as sulfur dioxide and nitrogen oxide.
“Whether the goal is to achieve carbon neutrality or build out their own ESG-focused investment products, StoneX continues to respond to the needs of clients worldwide.”
“We’ve seen client demand for these environmental contracts increase significantly due to evolving environmental policies and the ongoing focus towards ESG practices,” said Dave Smoldt, president of StoneX Financial’s commodities division.
“Adding to our extensive suite of commodity-focused contracts allows our clientele to further expand upon their environmentally focused goals. Gaining access to this new exchange allows us to serve a wider range of clients, from ESG ETF advisors to the utility provider looking to hedge their operational risk, using these futures and options contracts.”
With increasing interests in corporate sustainability and carbon neutrality, Nodal Exchange’s renewable fuels and pollutants contracts allow for active participation in the space. Energy refiners, distributors, producers to energy traders and ESG fund managers are among the users of these products.
“StoneX’s institutional clientele seeking exposure to carbon offsets can now meet that need with the same firm that delivers access to all other commodities,” said Greg Greves, managing director of clearing and execution services at StoneX Financial.
“Whether the goal is to achieve carbon neutrality or build out their own ESG-focused investment products, StoneX continues to respond to the needs of clients worldwide.”