Record JSE Equity Futures Close-out

June 18, 2010 at 5:48 AM EDT

JOHANNESBURG, 18 June 2010Trading statistics from yesterday's JSE equity futures close out reveal that 205,748 trades valued at more than R20 billion were recorded on the exchange. This is the first time in the JSE’s 123 year history that number of trades has crossed the two hundred thousand mark. The previous record was set on 7 May 2010 when 189,253 transactions were recorded. <?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" /?>

 

“This increased activity occurred on yesterday’s futures close-out as traders closed out their derivatives positions and purchased the underlying shares,” says Leanne Parsons, Head of Equities Trading at the JSE.

 

Close-outs, the days on which futures contracts are settled, take place four times a year in March, June, September and December. On these days there is usually a spike in trading activity. A general rise in average daily trade numbers in 2010 has also contributed to the record. According to the latest JSE monthly trading statistics published in May 2010, the number of equity trades is up by 23.9% year-on-year.  

 

The average daily number of trades for the first five months of 2010 has been 99,128. Average daily trade numbers for 2007, 2008 and 2009 were 46,216; 69,295 and 84,018 respectively.

 

The JSE’s equity market has been particularly volatile recently in line with turbulent global markets. This volatility is represented in numeric form by the JSE’s South African Volatility Index (SAVI) which rose from a low of 18% in April to a high of 33% in May before subsiding to 26% by close of trade yesterday.

The record comes on the back of the JSE’s introduction of a new billing model on 1 March 2010. The billing model aims to incentivise increased trade and to recognise retail and algorithmic investors, both important target markets for the JSE.

Trading statistics for the 17/06/10

Volume

394,839,938

Value

R20,839, 256K

Number of trades

205,748

Trading statistics for previous record number of trades 7/05/2010

Volume

1,018,433,885

Value

R30,613,372K

Number of trades

189,253

Trading statistics for the 5/05/2010

Volume

431,071,716

Value

R 20,143,645K

Number of trades

184,336

 

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FOR FURTHER INFORMATION PLEASE CONTACT:

Victoria Williams

Corporate Communications Consultants        

Tel: 00 27 11 463 2198   

Cell: 00 27 72 452 1772                                                        

Email: victoria@corpcom.co.za

 

ON BEHALF OF:

Leanne Parsons

Chief Operating Officer

JSE Limited

Tel.: +27 11 520 7000 

Cell: +27 83 300 3671

Email:  leannep@jse.co.za

About JSE Limited

As <?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" /?>South Africa’s only full service securities exchange, the JSE connects buyers and sellers in four different financial markets, namely equities, equity derivatives, commodity derivatives and interest rate products. The JSE Ltd offers the investor a truly first world trading environment, with world class technology, surveillance and settlement in an emerging market context. It is amongst the top 20 largest equities exchanges in terms of market capitalisation in the world.

For further information, please visit www.jse.co.za