Emerging markets options trading outpaces G10
Growth in EM options volumes between dealers and clients are nearly double that of G10 pairs
Foreign exchange options dealers are reporting a jump in volumes from clients betting and hedging on emerging markets currencies this year, while dampened volatility in developed markets has held back activity.
Client-driven volumes in EM currencies have grown by over 18%, more than double the rise in options volumes from the G10 major currencies, according to research firm BCG Expand.
Much of the growth is from banks and hedge funds, which increased their EM volumes by 15% and 12.3% respectively
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