Eurex Reports Mixed Volumes But OTC Segment Shines in 2019

Eurex, a global derivatives exchange, reported its operational metrics for December 2019, which dropped slightly on a yearly basis, but certain segments continued their upward trend, recording triple digit growth in average daily cleared volumes.
During December 2019, Eurex disclosed that a total of EUR 160 million was traded across its financial derivatives, which includes European equity index, interest rate and equity derivatives. This figure was lower by -8.1 percent over a yearly timeframe, compared to EUR 175 million reported back in December 2018.

Meanwhile, Eurex’s OTC clearing business saw significant gains over the last year with volumes jumping 62.85 percent in December to EUR 12.88 trillion. In terms of its average daily cleared volumes, the ADV figure more than doubled year-on-year to EUR 58 billion in December. Across the whole of 2019, daily OTC interest rate derivative volumes averaged EUR 110 billion and daily long-dated OTC interest rate swap activity averaged EUR 15 billion, higher by 130 percent compared to the previous year.
Eurex expands FX offering
The Eurex FX offering of classic FX futures and options, in combination with the rolling spot futures, allows traders to manage their FX exposures with listed products.
The  has made efforts over the past year to expand its FX trading business, most recently signing major banks to support their FX futures, from clearing to trading.
Earlier in July, the company has partnered with European  to trade FX on Eurex. Any Eurex FX client can execute bilaterally off-exchange against global banks or move between OTC FX and listed FX using exchange for physical (EFP).
Eurex’s currency trading desk currently offers various FX derivatives products, including FX futures available in 11 currency pairs, all with quotation and tick sizes in-line with existing OTC FX standards.
Eurex has seen a change to its corporate structure in light of a rapidly shifting regulatory climate and market structure. The implementation of MiFID II legislation was particularly relevant for the marketplace group. As one of Europe’s leading derivatives marketplaces, Eurex has had to adapt and shift its structure in light of these new regulations. This has resulted in adapting its existing setup in Switzerland while also bolstering its offering in Asia.

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