The latest ISDA SwapsInfo Quarterly Review shows that interest rate derivatives (IRD) traded notional and trade count increased in 2023 compared to the previous year, while index credit derivatives trading activity declined over the same period.
Key highlights for the full year 2023 include:
- IRD traded notional rose by 11.2% to $324.5 trillion in 2023 from $291.9 trillion in 2022. Trade count increased to 2.5 million from 2.3 million over the same period.
- Cleared IRD transactions comprised 78.2% of total IRD traded notional and 79.8% of total trade count.
- IRD transactions traded on swap execution facilities (SEFs) accounted for 54.1% of total IRD traded notional and 68.3% of trade count.
- Index credit derivatives traded notional dropped by 23.2% to $11.0 trillion in 2023 from $14.4 trillion in 2022. Trade count fell to 339.6 thousand from 398.4 thousand over the same period.
- Cleared index credit derivatives transactions accounted for 86.4% of total index credit derivatives traded notional and 89.7% of total trade count.
- SEF-traded index credit derivatives comprised 85.0% of total index credit derivatives traded notional and 88.6% of total trade count.
Click on the attached PDF to read the full report.
Documents (1) for SwapsInfo Full Year 2023 and the Fourth Quarter of 2023 Review
Latest
IQ Interview with Mark Uyeda
Mandatory clearing of US Treasury securities is due to begin at the end of this year under rules finalized by the Securities and Exchange Commission (SEC) in 2023. SEC commissioner Mark Uyeda talks to IQ about the benefits of clearing...
Response to FCA on CFI Codes for Transparency
On March 19, ISDA responded to Chapter 3 of the UK Financial Conduct Authority’s (FCA) Quarterly Consultation CP26/8 on transparency requirements for financial instruments under Market Conduct Sourcebook (MAR) 11. Sections 3.11-3.13 of the consultation paper explain a discrepancy between...
Why We Need Safe and Efficient SFT Markets
Securities financing transactions (SFTs) play a vital role in fostering liquidity, mobilizing collateral and supporting the smooth functioning of derivatives markets. But during periods of stress, secured funding markets often come under pressure just when they’re needed most, with reduced...
Response to BoE on Clearing Exemption for PTRR
On March 11, ISDA submitted a response to the Bank of England’s consultation on a proposed approach to exempting post-trade risk reduction (PTRR) transactions from the derivatives clearing obligation under Article 4 of the European Market Infrastructure Regulation (EMIR). ISDA...