A new derivative solution to hedge water price exposure
The Nasdaq Veles California Water Index futures can help you manage the price risk associated with the scarcity of water in the largest water market in the U.S.
Latest Equities news
Features and benefits
First of its kind
The first regulated, exchanged-traded risk management tool to manage water supply and demand risk.
Based on the NQH2O Index, the leading benchmark tracking the price of water at its source, with data backed by market leader, WestWater Research.
Small contract size allows for easy access to manage water price exposure. Trade on-screen five days a week or negotiate bilateral block trades anytime.
Robust, transparent markets foster true price discovery for participants.
Explore this product in depth
About the NQH20 Index: Reflecting water prices
The Nasdaq Veles California Water Index (ticker symbol: NQH2O) tracks the price of water rights leases and sales transactions across the five largest and most actively traded regions in California. Water entitlement transactions from the surface water market and four adjudicated groundwater basins ‒ the Central Basin, the Chino Basin, the Main San Gabriel Basin, and the Mojave Basin Alto Subarea are included in the index. The value of the index reflects the volume-weighted average price of water, at the source, excluding conveyance costs and water losses in the underlying markets after adjusting for idiosyncratic pricing factors specific to each of the eligible markets and transaction types. NQH20 is valued in U.S. dollars per acre foot (the volume of water required to cover one acre of land (43,560 square feet) to a depth of one foot, equivalent to 325,851 gallons).
CME Direct users: Download the NQH2O futures trading grids:
- Right click on the links to each file.
- Save the file as an .XML on your computer.
- In CME Direct, select import view in the main menu.
- Import the grid into CME Direct.
- Under Menu, click on Save Window Layout.
Take self-guided courses on Equity Index futures and options products.
If you’re new to futures, the courses below can help you quickly understand the Equity Index market and start trading.
Contact an Equity Index expert
Connect with a member of our expert Equity team for more information about our products.