Sunday 29 March 2009

Derivatives growth outpaces equities

While equity volumes on Nasdaq Dubai see-saw, derivatives trading has seen phenomenal growth this year.

This month till date, the number of derivative contracts rose to 4,536 over February's 386 contracts, which had grown 329 per cent over January.

Analysts attribute this to key factors such as larger institutional participation and the hedging mechanism inherent in derivative products.

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