2020 ECMI Statistical Package: key findings

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This report provides an overview of the key findings of the ECMI Statistical Package 2020, a comprehensive and annually updated database on the dynamics of European and global capital markets (covering China, Japan, the US and other relevant markets).* The key trends gleaned from the package on equity markets, debt securities, exchange-traded derivatives (ETD), over-the-counter (OTC) derivatives and investment funds are outlined below. The statistical package covers the period up to 2019, which means that the impact of the Covid-19 pandemic is reflected in the figures only to a very limited extent.

Highlights

Equity market

  • Market capitalisation of listed companies in the EU-27 increased 21.9% in 2019.
  • The capital raised though initial public offerings (IPOs) declined 36.3% in 2019.

Debt securities

  • The global amount of outstanding debt securities in 2019 saw an increase, totalling €86.2 trillion.
  • Notional amounts of outstanding debt in the EU-27 rose, both in terms of value (+3.5%) and GDP share (standing at 143.7%).
  • Issuance of securitised products fell 19.6% to €217 billion in the EU-27, while in the US it increased 14.1% to €1.9 trillion.

Exchange-traded derivatives

  • The trading of interest rate derivatives (IRD) in Europe slowed (-11.2%) to €420 trillion in 2019.
  • Global trading in commodity derivatives remained stable at €120.5 trillion, while the number of contracts reached 5.7 billion.

Over-the-counter derivatives

  • The notional amount of over-the-counter (OTC) traded derivatives increased 4.5% in 2019, and the gross market value 22.0%.
  • Euro-denominated IRD increased 4.7% to €104 trillion, representing 26.1% of all contracts.
  • Central clearing continued to make inroads for IRD contracts and increased 8.6%. At the end of 2019, 76.7% of IRD were cleared with central clearing counterparties (CCPs).

Investments funds

  • The number of Undertakings for Collective Investment in Transferable Securities (UCITS) funds increased 2.0% in 2019, and the number of non-UCITS funds 2.2%.
  • Net assets totalled by UCITS funds were €8.9 trillion, while the non-UCITS reached €6.1 trillion.
  • Equity and bond funds represented 30.0% and 24.2% of the total EU-27 investment fund market in terms of net assets.
  • The number of listed exchange-traded funds (ETFs) in the EU-27 rose 7.7%, and the total value of ETF trading shrank 11.9%.

*The ECMI Statistical Package retrieves, compiles and analyses data from publicly available sources and reports as follows. Section 1: WFE, FESE and individual trading venues; Section 2: BIS, ECB, ECBC, AFME, WFE, FESE and individual trading venues; Section 3: BIS, WFE, FESE and individual trading venues; Section 4: BIS and WFE; Section 5: EFAMA, OECD, Pensions Europe and Insurance Europe; Section 6 to 8: Eurostat, IMF and World Bank.

Apostolos Thomadakis, Ph.D., is Researcher at ECMI and CEPS