The Mexican financial market is going through a period of technological changes and is set to see a dynamic year.LBC spoke with Jorge Alegría, CEO of Mexican Derivatives Exchange, MexDer, about what CFOs should expect in the near future, as well as the latest developments in the markets.
Technology is rapidly changing Mexico’s marketsnow, causing an exponential increase in the number of transactions. In 2005, the daily average was 75,000, while in 2013, that number skyrocketed to some 8 million. "The number is set to grow. Mexico still has lots of potential for attracting new players. However, I don't think the figures will continue to grow so drastically, more in the region of 20 to 25 percent year-on-year," Alegría, CEO of the Mexico’s Derivatives Exchange, MexDer told LBC during the Latin Trade CFO Forum in Mexico City this month.
In global terms, derivative markets have shown strong growth. In Mexico's case, there has been some growth, albeit not at the same rate of other markets. However, as Alegría adds, there has been a particular increase in over-the-counter derivatives. These transactions are difficult to measure in terms of statistics. Therefore, international authorities have focused on encouraging transactions in an organized market, as they have associations dedicated to risk management.