“We also see a lot of structural growth potential… If we look at the equity index complex, there is a clear trend of many asset managers moving to passive investment structures. We see that … on the derivatives side [adding] new liquidity pools to global index families.”
Thomas Book, CEO of Eurex Frankfurt AG and Eurex Zurich AG, believes the exchange can take advantage of the opportunities presented by a changing European landscape. Low interest rates for a long time equated to low interest in Eurex’s fixed income offerings — this year the exchange has seen new adoption of the product. Book views volatility as an underdeveloped asset class in Europe — Eurex wants to grow the European volatility space and extend those offerings to US investors as well. Also, Eurex saw volumes triple in its MSCI futures and options suite so far this year, a trend the exchange wants to continue to support. Then there’s the elephant in the room — MiFID II — which also presents opportunities for the exchange.