Risk.net

Majority of major corporates using derivatives - Isda

The survey, which spanned companies in 26 countries, found that 92% use derivatives to manage and hedge their risks more effectively. Of these companies, 92% use derivatives to manage interest rate risk, 85% use them to hedge foreign exchange risk, 25% hedge commodity risk and 12% use derivatives to manage equity price risk.

UK-based corporates have the highest usage, with all 35 surveyed companies using derivatives. In the US, 94% of the 196 companies questioned said they use derivatives, the same percentage as German corporates. French and Japanese companies followed closely behind, with 92% and 91% respectively using derivatives.

"We weren’t very surprised by the results," said Keith Bailey, managing director of Merrill Lynch and chairman of Isda. "It is a very compelling endorsement of the product by the largest companies in the world, and shows it is very important to use derivatives in a competitive environment."

The survey will be released on an annual basis, and may include further information in future, including volumes outstanding and product breakdown.

  • LinkedIn  
  • Save this article
  • Print this page  

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: