Algorithmic market-making on listed options. NSE NEXT in Kenya is the active product family, working through its licensing pathway. Options on Single Stock Futures (OSFs) are the primary book, priced under Black-76 with a calibrated SVI surface.
The pricing engine is built for the full options stack: Black-76 for the futures-style options NSE NEXT lists, with a no-arbitrage SVI volatility surface calibrated continuously against live prints. Hedging runs through the underlying Single Stock Futures and cash legs, with cross-hedging and adaptive sizing for names where any leg is thin.
Operations on NSE NEXT remain pending regulatory authorization. Engagement is underway with the Nairobi Securities Exchange and the Capital Markets Authority of Kenya specifically on the OSF licensing pathway. The deeper market and product narrative lives on the Kenya markets page.
Single Stock Futures are the foundation product on NSE NEXT. The venue launched in 2019 with SSFs on a handful of NSE 20 names, and they remain the contract type with the deepest open interest on the platform. The SSF book already has a designated market maker in place under the venue’s programme.
Shabba treats Single Stock Futures as a first-class derivative asset class. The pricing engine values SSFs from spot and cost-of-carry; the risk system carries SSF inventory natively; the same operating standard that runs the options book extends directly to the futures book. SSFs are also the delta-hedging instrument for every OSF contract we write, so they sit at the centre of our daily operating reality on NSE NEXT regardless of appointment status.
The near-term licensing pathway with NSE and CMA Kenya is the OSF book, where no algorithmic market maker is appointed today. Where the venue’s market-maker programme accommodates additional SSF providers, the futures book is an asset class we are positioned to engage with under the same operating model.