Global Derivatives Conference Concludes in Moscow
Key themes included response to regulation, Moscow"s emergence as major financial center, and recovery of global exchange-traded derivatives
MOSCOW, 28 May 2014 – The 31st annual World Federation of Exchanges/IOMA conference, devoted to the global derivatives market, concluded today in Moscow. The annual conference brings together both the leaders of the world's futures and options markets and global clearing houses, to discuss market and regulatory issues affecting the global derivatives landscape. This year the conference was hosted by Moscow Exchange, Russia"s main public markets trading platform.
A key theme of this year"s conference was the industry"s response to regulation, particularly implementation of the 2009 G20 agreement on the reform of the over-the-counter (OTC) derivatives market. Delivering a keynote address, First Deputy Governor of the Central Bank of Russia Ksenia Yudaeva announced that Russia will begin mandatory reporting next year. From 1 January 2015 all OTC contracts made under master agreements must be reported to a trade repository, in line with the G20 agreement. Moscow Exchange operates one of Russia"s trade repositories.
Alexey Moiseev, Deputy Finance Minister of the Russian Federation, delivered the keynote address on the second day of the conference. In his remarks, Mr. Moiseev highlighted the many measures Moscow has taken in recent years to develop as an international financial center, including the creation of a CSD, opening the bond market to Europe"s two main ICSDs and creation of a mega-regulator. He also spoke about Russia"s next steps including reforms to allow pension funds to be invested in all traded asset classes and emphasized Russia"s commitment to remain fully integrated in the global financial markets.
During the conference, the WFE released a major derivatives market survey that highlighted the recovery of exchange-traded derivatives in 2013. The report found that 21.5 billion exchange-traded derivatives contracts (9.3 billion options and 12.1 billion futures) were traded on exchanges worldwide. This modest increase of 2% reverses the previous year"s trend when total on-exchange contracts changing hands decreased 15%.
Panel sessions focused on a number of timely topics including the emergence of new execution venues in the changing regulatory framework, automated trading systems and latency sensitive strategies, as well as the future of FX derivatives.
Participants at the event included CEOs and other senior executives from BM&FBOVESPA, CBOE, CME Group, China Financial Futures Exchange, Eurex, Korea Exchange, MexDer, Moscow Exchange, National Stock Exchange of India, NASDAQ OMX, Singapore Exchange and Taiwan Futures Exchange among others.
As it has every year prior, the WFE-IOMA conference also partnered with the Global Association of Central Counterparties (CCP12) to offer a half-day of combined sessions that focus on the new challenges facing the clearing market.
The conference was held at the Ritz-Carlton hotel steps from Red Square in central Moscow.
ABOUT IOMA:
IOMA was founded in 1983 as an association of options markets and clearinghouses around the world. It includes most of the major exchanges trading options on equities, equity indexes, debt instruments, currencies and commodities. Since affiliating with WFE in 2002, IOMA has widened its scope to include futures and commodity trading.
ABOUT THE WFE:
The World Federation of Exchanges is the trade association for the operators of regulated financial exchanges. With 60 members from around the globe, the WFE develops and promotes standards in markets, supporting reform in the regulation of OTC derivatives markets, international cooperation and coordination among regulators. WFE exchanges are home to more than 45,000 listed companies representing a total market capitalization that is equivalent to the GDP of the whole world.
ABOUT MOSCOW EXCHANGE:
Moscow Exchange Group manages the sole multifunctional exchange platform in Russia for equities, bonds, derivative instruments, currencies, money market instruments and commodities. The Group includes the central depository (National Settlement Depository), and a clearing centre (National Clearing Centre), performing the functions of central counterparty on the markets, which allows Moscow Exchange to render the full spectrum of trading and post-trading services to its clients.
Moscow Exchange ranks among the world"s top 20 exchanges by total capitalization of securities traded, and also among the 10 largest exchange platforms by bonds and derivatives trading. Securities of 722 issuers are admitted to trading on the equities market of Moscow Exchange, including securities of the largest Russian companies by market capitalization.
Moscow Exchange was formed in December 2011 as a result of a merger between Russia"s two main exchange groups - MICEX Group, the oldest domestic exchange and operator of the leading securities, foreign exchange and money market platform in Russia; and RTS Group, at the time the operator of Russia"s leading derivatives market. This combination created a vertically integrated public trading market across most major asset classes, which was reorganized into an open joint stock company (OJSC) and was named Moscow Exchange. Moscow Exchange held the initial public offering of its shares on 15 February 2013 (ticker MOEX).
MEDIA CONTACTS
For Moscow Exchange:
Quinn Martin, +7 985 361 0369 or +1 646 629 5502, quinn@frontierpr.com
For the WFE:
Intermarket Communications: Stephanie DiIorio, +1-212-754-5181, sdiiorio@intermarket.com or Nora Sabry, +1-212-754-5468, nsabry@intermarket.com
For further information, please contact the Public Relations Department at (495) 363-3232.