Singapore Exchange (SGX Group) has once again demonstrated its dominance in the global financial arena by clinching the title of “Best Asia FX Derivatives Exchange” at the FX Markets Asia Awards. This marks SGX’s eighth consecutive victory since the award’s inception, underscoring its unwavering leadership, relentless innovation, and excellence in the FX derivatives market.
As the world’s largest and most liquid Asian FX futures exchange, SGX achieved a landmark FX futures volume of US$4.1 trillion in 2024, reflecting an impressive 40% year-on-year (y-o-y) growth. The momentum has carried into 2025, with first-quarter FX futures volume rising 45% y-o-y to a new record of US$1.2 trillion. Daily average volume (DAV) surged 47% y-o-y, reaching a milestone of US$20.3 billion, confirming SGX’s pivotal role in facilitating global currency risk management.
Deep Liquidity and Strategic Innovations Drive Global Appeal
KC Lam, Global Head of FX and Rates at SGX Group, noted, “Global investors are increasingly using our FX futures for price discovery and as effective, cost-efficient hedging instruments to manage heightened market and currency volatility. The deep liquidity of our FX futures continues to attract new participants worldwide.”
He further emphasized the dominance of SGX’s USD/CNH FX Futures — the world’s most liquid international renminbi futures contract, with about 40% of trading volumes occurring during U.S. and European hours, providing a vital pricing reference for global investors.
SGX’s flagship contracts — USD/CNH and INR/USD futures — have ranked among the top 10 most-traded FX futures globally by daily average volume in the first quarter of 2025, solidifying SGX’s standing as a critical marketplace for FX trading.
SGX has also implemented market-driven enhancements to its FX derivatives structure, including the launch of a new final settlement price (FSP) reference rate for USD/CNH futures to minimize basis risk, and greater precision in FSP computation for INR/USD futures — both initiatives reflecting SGX’s commitment to continuous improvement.
Strong Derivatives and Securities Performance Underlines Market Strength
Beyond FX, SGX’s derivatives market saw significant growth, with traded volume increasing 14% y-o-y to 27.4 million contracts, while derivatives DAV climbed 12% y-o-y to 1.3 million contracts. Meanwhile, securities turnover rose 25% y-o-y in March to S$29.7 billion, with securities daily average value (SDAV) also up 25% y-o-y, reaching the highest levels since May 2022.
The Straits Times Index (STI) crossed the symbolic 4,000-point mark for the first time on 28 March, delivering a 5% quarterly gain and outperforming ASEAN peers, highlighting investor confidence in Singapore’s capital markets.
As global markets navigate uncertainty, SGX’s performance and innovations continue to set new benchmarks for excellence, liquidity, and resilience in Asia and beyond.
