BM&F Bovespa swaps hit record high volumes
has seen derivatives trading soar to record highs while cash equities remained
flat in a year of dramatic technical change at the Brazilian bourse.
results filed this week show the bourse’s BM&F derivatives segment enjoyed
a 7.8% year-on-year rise in average daily traded volume, hitting a new record of
2,700,600 contracts. BM&F Bovespa said the climb was attributable to the
volume of trading in Brazilian-interest rate futures contracts, which were the
most actively traded contracts, followed by index-based futures and mini-sized
contracts, whose year-on volumes soared 37.9% and 51.4%.
volume for the stock market was virtually unchanged from the earlier year at
R$6.5 billion (US$3.8 billion).
daily trading value picked up just a thread from the earlier year, but still
enough to hit an all-time record,” the bourse said in its annual report, saying
the virtually unchanged performance was a result of a 1.3% year-on-year climb
in average capitalisation of the stock market and a slight increase in turnover
velocity – to 64.2% from 63.8% – driving a 1.1% rise in volume traded in cash
equities. “This climb, however, was quashed by a slump in combined average
daily trading value in the forward and options markets.”
launched in 2011 its Puma trading system – a multi-asset electronic platform
developed jointly with CME Group which enhances processing capacity, reduces
latency and provides new functionality. With successful implementation of
derivatives as the first phase now complete, BM&F Bovespa said it was on
track to roll out the equities module this year.
we remain confident of the traction provided by the social mobility experienced
in Brazil and the ascent of the middle class,” said Edemir Pinto, chief executive
officer, BM&F Bovespa. “The significance of the capital markets for investors
and entrepreneurs is steadily increasing, and with it the role of BM&F Bovespa
as the exchange for all Brazilians.”