The Latest Global Futures Industry Statistics Explained
As of 2021, the futures market is estimated to have a trading volume of around 19 billion contracts compered to 2014 where it was about 21.3 billion contracts worldwide.
The statistic indicates that the trading volume of the futures market worldwide has decreased from approximately 21.3 billion contracts in 2014 to around 19 billion contracts as of 2021. This suggests a decline in market activity over the specified period. Factors such as changes in economic conditions, market volatility, regulatory changes, and shifts in investor behavior could potentially contribute to this decrease in trading volume. The difference in the number of contracts traded may reflect shifts in trading strategies and risk management practices among market participants. Understanding these trends in market activity is crucial for analysts, policymakers, and investors to assess the broader economic landscape and anticipate potential future market movements.
China’s futures market volume registered $1.7 Quadrillion in 2020, accounting for around 40% of the global futures volume.
The statistic indicates that China’s futures market volume reached an astounding $1.7 Quadrillion in 2020, showcasing the substantial scale and growth of the country’s futures market. This volume accounts for approximately 40% of the total global futures market activity, highlighting China’s significant influence in the global financial landscape. The impressive size of China’s futures market volume indicates a high level of trading activity and investor participation, solidifying its position as a major player in the world economy.
The interest rate category has dominated the futures and options industry with a share of 72.9% as of 2019.
The statistic indicates that the interest rate category holds a significant share of 72.9% within the futures and options industry as of 2019. This suggests that a large majority of trading activity in the industry is focused on interest rate products such as interest rate futures and options. The dominance of the interest rate category highlights the importance and popularity of these financial instruments among market participants, likely driven by factors such as the role of interest rates in influencing various aspects of the economy and financial markets. This statistic underscores the significant impact that interest rates have on the derivative markets and indicates a strong market preference for interest rate-related products in the futures and options space.
The equity index industry is the second-largest segment, accounting for 11.5% of the futures and options industry as of 2019.
This statistic indicates that within the futures and options industry in 2019, the equity index sector is the second-largest segment, representing 11.5% of the total market. This suggests that equity index products, which are financial instruments that track the performance of a specific group of stocks, such as the S&P 500 or Dow Jones Industrial Average, play a significant role in the overall landscape of futures and options trading. Investors and traders are actively participating in using equity index derivatives to hedge against market risks, speculate on market movements, or gain exposure to broad equity market performance. The substantial share of the equity index industry in the futures and options market highlights the importance and popularity of these instruments among market participants.
As of 2021, CME Group is the world’s leading and most diverse futures exchange.
The statistic that “As of 2021, CME Group is the world’s leading and most diverse futures exchange” indicates that as of the year 2021, CME Group holds a prominent position in the global futures market in terms of both market share and the variety of financial products it offers. The use of the term “leading” suggests that CME Group is the largest and most influential player in the industry, likely based on metrics such as trading volumes, open interest, and overall market capitalization. Furthermore, being described as the “most diverse” futures exchange implies that CME Group provides a wide range of futures contracts across various asset classes, catering to the needs of a broad spectrum of market participants. This statistic underscores the significance and dominance of CME Group within the futures market landscape as of 2021.
The growth rate of derivatives trading was more than five times greater than the growth rate of world trade from 1995 to 2009.
The statistic indicates that during the period from 1995 to 2009, the rate at which derivatives trading expanded was more than five times faster than the rate of growth observed in world trade. Derivatives are financial instruments whose value is based on an underlying asset or security, and trading in these instruments grew rapidly during the specified timeframe. This comparison highlights the significant and rapid expansion of the derivatives market in relation to the growth of global trade activities over the same period. The data suggests that financial markets and trading activities in complex financial instruments like derivatives experienced substantial growth and development, outpacing the pace of expansion in traditional trade flow worldwide.
As of 2020, just 1.8% of the worldwide futures volume takes place in North America.
This statistic indicates that as of the year 2020, only 1.8% of all futures trading volume across the globe occurred in North America. Futures trading involves buying or selling contracts for a specified asset at a predetermined price to be executed at a later date. The fact that such a small percentage of this trading activity is taking place in North America suggests that other regions or countries are more active in participating in futures markets. This could reflect different market dynamics, economic conditions, regulatory environments, or investor preferences in various parts of the world.
In 2019, the open interest of OTC interest rates derivatives was 532 trillion USD.
The statistic states that in 2019, the open interest of over-the-counter (OTC) interest rate derivatives amounted to 532 trillion USD. This figure represents the total value of outstanding positions in OTC interest rate derivatives, which are financial contracts based on fluctuations in interest rates. The high value of 532 trillion USD indicates the significant scale of these derivatives in the global financial markets and underscores their importance in managing interest rate risk for financial institutions, corporations, and investors. The open interest figure serves as a key metric for assessing market liquidity, risk exposure, and overall market activity in the OTC interest rate derivatives market.
In 2019, the United States accounted for 35% of global futures and options trading.
This statistic indicates that in 2019, the United States was responsible for 35% of all futures and options trading activity conducted worldwide. Futures and options trading refer to financial contracts that allow traders to buy or sell assets at a specified price by a predetermined date. The fact that the United States accounted for such a significant portion of this global trading activity suggests the country’s prominence in the international financial markets. This statistic highlights the country’s strong presence and influence in the world of derivatives trading, demonstrating its importance as a hub for financial transactions on a global scale.
In the Euro Area, it accounted for only 16% of global futures and options trading in 2019.
The statistic indicates that in 2019, the Euro Area contributed only 16% of the total global futures and options trading activity. This implies that the Euro Area’s share in the global market for these financial instruments was relatively modest compared to other regions. Factors such as market size, regulatory environment, and the composition of market participants likely influenced this outcome. Understanding this statistic can provide insights into the dynamics of the global financial markets and highlight areas where the Euro Area may seek to enhance its competitiveness and presence in futures and options trading.
The total revenue of the CME Group, the leading futures exchange globally, amounted to 4.9 billion U.S. dollars in 2019.
The statistic presented indicates that the total revenue generated by the CME Group, the predominant futures exchange worldwide, reached 4.9 billion U.S. dollars in the year 2019. This figure highlights the significant financial impact and success of the CME Group in facilitating futures trading activities. As the leading player in the futures exchange market, the CME Group’s substantial revenue underscores its position as a key player in the global financial industry. The revenue figure reflects the volume of trading activities, transaction fees, and other sources of income that contributed to the overall financial performance of the CME Group during the specified time period.
In 2020, the single stock futures amounted to 594,000 contracts, according to the Dubai Gold and Commodities Exchange (DGCX).
The statistic suggests that in 2020, the Dubai Gold and Commodities Exchange (DGCX) witnessed a substantial trading activity in single stock futures, with a total of 594,000 contracts being traded. This indicates a high level of interest and participation in the derivatives market for single stock futures on the exchange during the specified period. The volume of contracts traded is a key metric for measuring market liquidity and investor engagement, highlighting the level of trading activity and the potential for price discovery and risk management through futures contracts linked to individual stocks.
In 2020, the total notional value of derivatives held globally by public pension funds was 1.57 trillion U.S. dollars.
In 2020, public pension funds globally collectively held derivatives with a total notional value of 1.57 trillion U.S. dollars. This statistic signifies the substantial exposure that public pension funds have to financial derivatives, which are financial instruments whose value is derived from an underlying asset or index. Derivatives can be used by pension funds for various purposes, such as hedging against risks, enhancing returns, or gaining exposure to specific markets. The large notional value of derivatives held by public pension funds highlights the importance of risk management and investment strategies in managing pension fund assets to ensure long-term sustainability and growth.
By 2020, the worldwide contract volume in commodity markets increased to about 6.4 billion.
The statistic “By 2020, the worldwide contract volume in commodity markets increased to about 6.4 billion” indicates a substantial growth in trading activity within commodity markets on a global scale. The term “contract volume” likely refers to the total number of contracts traded in these markets, which serve as agreements to buy or sell commodity assets at a specified price and date in the future. The figure of 6.4 billion suggests a significant uptick in market participation, potentially driven by factors such as changes in supply and demand dynamics, economic conditions, geopolitical events, or investor sentiment. This increase may have implications for various stakeholders in the commodity markets, including producers, consumers, traders, and investors, as well as broader implications for the global economy and financial markets.
By 2020, the worldwide contract volume in the financial sector decreased to about 24 billion.
The statistic “By 2020, the worldwide contract volume in the financial sector decreased to about 24 billion” indicates that the total value of financial contracts exchanged globally had declined to approximately 24 billion units by the year 2020. This suggests a reduction in the overall volume of financial transactions taking place within the industry during that time period. The decrease could be attributed to various factors such as changes in market conditions, economic instability, regulatory changes, or shifts in investor behavior. This statistic highlights a significant trend in the financial sector and may have implications for the overall performance and health of the global financial markets.
The daily foreign exchange turnover on the international financial markets amounted to 6.60 trillion U.S. dollars in 2019.
The statistic indicates that the total volume of foreign exchange transactions conducted on the international financial markets on a daily basis reached 6.60 trillion U.S. dollars in 2019. This figure reflects the vast amount of money being exchanged between various currencies for purposes such as trade, investment, and speculation. Such a high turnover demonstrates the global scale and liquidity of the foreign exchange market, which is the largest and most actively traded financial market in the world. This statistic highlights the importance of foreign exchange markets in facilitating international trade and investment flows, as well as serving as a key indicator of economic activity and market sentiment on a global scale.
The World Federation of Exchanges reported in 2019 that the options market volume reached nearly 18 billion contracts globally.
The statistic provided highlights the significant scale and global reach of the options market in 2019. According to the World Federation of Exchanges, the total volume of options contracts traded worldwide approached almost 18 billion. This figure showcases the immense level of trading activity and participation in the options market, reflecting the diverse range of investors and institutions engaging in options trading on a global scale. The high volume of contracts traded indicates a robust level of liquidity and interest in options as a financial instrument for hedging, speculation, and risk management purposes across various asset classes and markets around the world.
References
0. – https://www.blogs.worldbank.org
1. – https://www.www.statista.com
2. – https://www.www.forbes.com
3. – https://www.www.world-exchanges.org
4. – https://www.www.cmegroup.com
5. – https://www.www.bis.org
6. – https://www.www.dgcx.ae
