London, 25 January 2017 – The World Federation of Exchanges ("WFE"), which represents more than 200 market infrastructure providers including exchanges and CCPs, today hosted a roundtable in London for exchanges and the buy side, to discuss how best to grow liquidity in emerging markets.
The session, held with Oliver Wyman, and titled Enhancing Emerging Market Liquidity - follows the joint WFE-Oliver Wyman paper on the issue published in October 2016. It also follows the subsequent roundtable held at the WFE's Annual Meeting in Colombia with the World Bank and regional regulators, in November 2016.
Participants at today's event included leading international buy-side firms, along with representatives from exchanges in both emerging and developed markets including: Bermuda Stock Exchange, BM&FBOVESPA, CBOE, Japan Exchange Group, Moscow Exchange, National Stock Exchange of India, Nasdaq, and The Stock Exchange of Mauritius.
The report identified three key areas that exchanges and regulators can focus on to grow liquidity:
- Promoting the development of a diverse investor base;
- Increasing the pool of securities and associated financial products; and
- Investing in the creation of an enabling market environment.
Nandini Sukumar, CEO, WFE, said: "Institutional investors are crucial in the creation of market liquidity. They create information flows and contribute to market efficiency, positively influencing liquidity. This, as our report shows, is particularly important in emerging markets."
Daniela Peterhoff, Partner, Global Head of Market Infrastructure, Oliver Wyman, said: "Buy-side participants can act as a catalyst for growth of the overall capital markets ecosystem. Bringing them closer to emerging markets by offering dedicated solutions is crucial to enhance liquidity."
The report was written in collaboration with Oliver Wyman, using its experience in a variety of markets; additional WFE data; and interviews and case studies of several WFE emerging market exchanges.
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About the World Federation of Exchanges (WFE):
Established in 1961, the WFE is the global industry association for exchanges and clearing houses. Headquartered in London, it represents over 200 market infrastructure providers, including standalone CCPs that are not part of exchange groups. The WFE is the definitive source for exchange-traded statistics and publishes over 350 market data indicators. Its statistics database stretches back more than 40 years, and provides information and insight into developments on global exchanges.
WFE exchanges are home to nearly 45,000 listed companies. The WFE promotes the development of fair, efficient and transparent markets. It works with policy makers, regulators and standard-setters around the world to support the development of effective rules and standards for exchanges and market participants. For more information, please visit: https://www.world-exchanges.org
For more information, please contact:
Head of Communications, World Federation of Exchanges
Phone: +44 20 7151 4137 / +44 7850 287 685