TAIFEX ranks in top 10

By Michelle Hsu The China Post

In the annual report of the International Options Market Association (IOMA), the Taiwan Futures Exchange (TAIFEX) was ranked as the world’s seventh largest in terms of annual transactions, advancing from 17th in 2002.

The TAIFEX recorded annual transactions of 3.167 billion contracts in 2003, up 299 percent from the previous year.

According to the annual report published recently, worldwide financial derivatives transactions reached a record high of 7.9 billion contracts, of which futures accounted for 34 percent, or 2.73 billion contracts, while options took up the other 66 percent, roughly 5.19 billion contracts.

The IOMA said that financial derivatives transactions grew significantly in 2003. Transactions on the market index contracts grew the most, by 42 percent, partly contributed by the active trading on the KOSPI 200 index options last year.

Currently, worldwide financial derivatives transactions are still dominated by the exchanges located in the U.S. and Europe. The TAIFEX is one of the few active futures exchanges in Asia.