What is the impact of global investors using SGX risk tools?

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SGX Derivatives Business Sees Growth Driven by Investor Reliance on Risk Management Tools

Global investors' increased reliance on trusted risk-management tools has contributed to double-digit growth within Singapore Exchange's (SGX) derivatives business. This trend was particularly evident in June, when derivatives traded volume rose 31 per cent year-on-year to 34.3 million contracts, with daily average volume increasing by 27 per cent to 1.6 million contracts. This surge in derivatives activity reflects a broader market dynamic where sophisticated financial instruments are employed to navigate market volatility.
Increased Demand for Derivatives

The derivatives segment of SGX experienced a notable uplift in trading volume. In June, the exchange recorded a 31 per cent year-on-year increase in derivatives traded volume, reaching 34.3 million contracts. This growth is indicative of heightened investor engagement with these financial products.
Enhanced Daily Trading Activity

Alongside the overall volume increase, the daily average volume for derivatives also saw significant expansion. For the period of July 2025 to June 2026, the daily average volume climbed by 14 per cent to approximately 1.5 million contracts. In June specifically, this metric rose by 27 per cent to 1.6 million contracts, suggesting more consistent and active trading on a day-to-day basis.
Broader Market Performance

The growth in the derivatives sector occurred within a context of strong overall performance for SGX. For the fiscal year 2026, total turnover increased by 35 per cent year-on-year to S$455.7 billion. The securities market also demonstrated robust activity, with turnover jumping 72 per cent year-on-year in June to S$44.6 billion, and the daily average value for securities spiking by 72 per cent to S$2.1 billion in the same month.

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What is the impact of global investors using SGX risk tools?

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