The second quarter of 2013 saw a strong increase in turnover in investment certificates and leverage products on the European exchanges, influenced in particular by the volatility of the European financial markets.
At EUR27.1bn, trading volumes were up 8.7 per cent in comparison with the first quarter of 2013, and as much as 22.1 per cent year on year. The figures are based on the latest market data collected by the European Structured Investment Products Association (EUSIPA) from its members and analysed by Derivative Partners Research.
The members of EUSIPA include: Zertifikate Forum Austria (ZFA), Association Française des Produits Dérivés de Bourse (afpdb), Deutscher Derivate Verband (DDV), Associazione italiana certificati e prodotti di investimento (ACEPI), the Swedish Exchange Traded Investment Products Association (SETIPA) and the Swiss Structured Products Association (SSPA).
At around EUR13.0bn, the volume of investment products traded on the exchanges of member countries in the second quarter of the current year was up 8.3 per cent in comparison with the first quarter. Investment certificates accounted for 48.1 per cent of the total volume recorded by the exchanges of member countries at the end of June.
Turnover in leverage products was also up in comparison with the previous quarter. Trading volumes grew by 9.2 per cent, to EUR14.1bn. Turnover in leverage products accounted for 51.9 per cent of the total turnover.
At the end of the second quarter, exchanges in EUSIPA member countries were offering 444,876 investment certificates and 616,525 leverage products. In comparison with the first quarter of the year, the number of products listed was down very slightly, by 0.1 per cent. The number of investment products listed was down 0.5 per cent year on year, while the number of leverage products offered was up 16.4 per cent.
Banks listed 539,032 new products during the period from April to June of the current year. There was a quarter-on-quarter decrease of 2.7 per cent in issuing activity. With 423,972 new structured products, the leverage products category accounted for 78.7 per cent of new issues. New investment certificates accounted for 21.35 per cent, at 115,060.
Open interest on the exchanges in Germany, Austria and Switzerland at the end of June 2013 was EUR238bn. The market volume was down 3.6 per cent compared with the previous quarter. Investment products accounted for a market volume of EUR224.7bn at the end of the second quarter of 2013, down 4.3 per cent on the previous quarter. A total of EUR13.4bn was invested in leverage products, an increase of 10.6 per cent as compared with the end of March this year.