BBVA Bancomer tops the MexDer in Futures and OptionsDecember 11, 2013
Innovation as a growth driver
BBVA Corporate & Investment Banking's strength in the Mexican derivatives market has been recognised by leading the monthly ranking published by the Mexican Derivative Exchange (MexDer) for both Futures and Options on the IPC (Índice de Precios y Cotizaciones). This is the first time the bank has achieved first place in both rankings at the same time after featuring in the top three all throughout 2013.
The daily volume traded in Futures on the IPC is around one billion Pesos while the volume for Options (IPC and shares) is close to 100 billion Pesos. These figures make the MexDer the second most important derivatives exchange in Latin America after Brazil.
Marc Jacques Fauvain, Head of Equity Trading in Mexico, believes BBVA Bancomer has managed to increase its share of this competitive market thanks to being very aggressive in price, improving trading algorithms, and developing a new system of market making for options. Fauvain also explains that BBVA "hopes to replicate this success throughout the region, giving us a full platform of products and markets, making us the leading strategic partner for clients with business interests in Latin America".
One of the keys to this strong position is innovation and, as Marc Jacques Fauvain explains, "BBVA Corporate & Investment Banking in Mexico is not only committed to maintaining its current formula but to continue innovating", this will soon make BBVA the first and only bank offering market making for options on IPC shares, securities which are currently not traded; as well as offering a larger number of assets and maintaining our exotic products business, such as Mexico's first autocallable warrant. He also notes that the bank will continue to innovate and "continue to develop new ideas, products and strategies for our clients".