CME Group is proud of the diversity in its product lines – from a broad range of commodities to a full suite of interest rate, index and FX contracts. That range of contracts has allowed the exchange to “hit” consistent winners somewhere on the board, as markets move from one sector to another. Bryan Durkin, president of CME, told JLN at the FIA Boca 2017 conference, that energies, metals, interest rates and FX posted solid, if not record volumes last year. This year, they hope that diversity continues to pay off.

“We really focused on our international footprint,” Durkin said. “And so we saw some extremely good growth across asset classes and client segments.”

CME saw about a 15 percent volume increase from European customers and 18 percent out of Asia in 2016. That varied customer participation is what gives CME optimism about future growth.

“We worked really hard on liquidity in the regional time zones, and that’s not something that happened overnight,” he said. “Testament to that was during the election and during Brexit, we traded more volume prior to the US market’s normal opens then we would in a typical trading day.”

Durkin said the focus now is firmly on the customers of CME, and coordinating segments and departments of the company so that messages and services are clearly delivered.

“Our viewpoint is, if our customers are not succeeding, then clearly we are not going to succeed,” Durkin said. “It’s critical, as we engage, that we are providing the products that they need and the services that they need.”

One example is the CME’s efforts in creating capital efficiencies for clients. New regulatory requirements are requiring more banks and firms to reserve more capital through various leverage ratios. CME is trying to help in that area through OTC clearing and clearing services such as trade compression, repo clearing or new equity and interest rate options contracts.

Durkin said that is designed to give customers a variety of alternatives to turn to.


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