Currency risk drives EU equity fund derivatives use

Just 27.6% of Ucits equity funds traded derivatives in Esma sample

Ucits equity funds are not too fond of derivatives, a study by the European Securities and Markets Authority (Esma) shows, but those which do use them mainly do so to hedge currency risks.

Out of a sample of 5,038 funds analysed by Esma, just 1,388 (27.6%) were found to have traded derivatives at least once between July 1 and December 31, 2016. The total number of trades was 472,757, for an average of 341 trades each. 

Currency forwards accounted for more than half of these trades, at 53% of

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 or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a 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