An analysis by Derivative Partners Research AG of data collected by the European Structured Investment Products Association (EUSIPA) from its members, has found that Europe’s structured products exchanges generated turnover of EUR39.2 billion in the first quarter.
Market volume of leverage products meanwhile was almost double that of a year earlier.
Exchange turnover in investment products and leverage products grew markedly once again in the first three months of 2015 on Europe’s financial markets. Compared with the last quarter of 2014, the volume rose by 30.0 per cent to EUR39.2 billion. This represented a year-on-year increase of 17.0 per cent.
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), the Swiss Structured Products Association (SSPA) and the Netherlands Structured Investment Products Association (NEDSIPA).
The trading volume of investment products on the European exchanges stood at EUR13.7 billion in the first quarter – 34.9 per cent of the total turnover. Exchange turnover was up 42.0 per cent from the previous quarter and increased by 7.0 per cent on the same period of the previous year.
The trading volume of leverage products such as Warrants, Knock-Out Warrants and Factor Certificates totalled EUR25.5 billion in the first quarter. They therefore accounted for 65.1 per cent of the total turnover. Exchange turnover was up 25.0 per cent compared with the final quarter of 2014. This represented a year-on-year increase of 24.0 per cent.
At the end of March, the exchanges of EUSIPA member countries were offering 562,601 investment products and 822,803 leverage products. The number of products listed grew by 15.0 per cent overall, in comparison with both the preceding quarter and the previous year.
Banks released a total of 984,401 new investment products and leverage products in the first three months of the year. This was an increase of 30.0 per cent in the number of new products in comparison with the last quarter of 2014 and a rise of 46.0 per cent compared with the first three months of the prior year. A total of 235,282 new investment products were launched, accounting for 23.9 per cent of all new issues. All in all, 749,119 new leverage products were listed, accounting for 76.1 per cent of new issues.
At the end of the first quarter, the market volume of investment and leverage products in Austria, Germany and Switzerland stood at EUR261.4 billion – down 2.0 per cent on the final quarter of 2014. However, the volume rose by 4.0 per cent compared with the first quarter of the previous year.
At the end of the first three months of 2015, the market volume of investment products was approximately EUR 238.0 billion. This was roughly on a par with the figure from a year earlier. The market volume shrank by 2.0 per cent in comparison with the fourth quarter of 2014.
At EUR23.4 billion, the outstanding volume of leverage products was up 89 per cent on the figure recorded at the end of March 2014. It dipped slightly, by 1.0 per cent, compared with the final quarter of 2014, however.