Q3 2020 market update

By: The WFE Research Team Oct 2020

Q3 2020 trends in equity markets



  • Domestic market capitalisation amounted to USD 93.95 trillion as at the end of Sept 2020. Year on year (YoY) the total market capitalisation increased by 9.8%. Quarter on quarter (QoQ) we notice an uptick of 5.4%, with all regions seeing an increase: Americas by 1.2%, APAC by 11% and EMEA by 5%. Month on month (MoM), the market capitalisation was lower by 2.6% relative to August, after five months of growth, with all regions declining in September.


  • Value of trades in equity shares in Q3 amounted to USD 38.48 trillion, an increase of 66.2% compared to Q3 2019, and the highest among the three quarters in 2020. EMEA was the only region to decline in Q3 compared to Q2 by 5.4%, while the Americas and APAC experienced an uptick of 8.8% and 52.6%. The total value of trades in the first three quarters amounted to USD 105.37 trillion.
  • Number of equity trades in Q3 amounted to 9.87 billion, up significantly by 53.2% compared to Q3 2019 and by 5.8% QoQ. The total number of trades in the first three quarters of 2020 amounted to 28.3 billion, with Q3 registering the highest number of trades. Trading volumes in the Americas region fell in Q3 by 37% QoQ while APAC and EMEA saw the trading volumes increasing by 30.5% and 4.5% respectively. MoM the number of equity trades declined by 1.5%.
  • There were 493 new listings in Q3 2020, up by 64.9% compared to Q3 2019. The total number of IPOs in the first three quarters of 2020 was 979. QoQ there was a 118.1% increase due to all regions hosting more IPOs: Americas by 59.1%, APAC by an exceptional 165.3% and EMEA by 71.8%. MoM the number of IPOs increased by 27.5%.

  • Investment through IPOs in Q3 was valued at USD 87.7 billion, an increase of 110.3% compared to the same period of 2019. The capital raised through IPOs in the first three quarters of 2020 was USD 165.2 billion. QoQ the investment through IPO was up 89.5% with all regions growing: Americas by 38.2%, APAC by 167.8%, while EMEA by a more modest 23.9%. MoM the investment increased by a significant 71.9%.
  • Capital raised per IPO in Q3 2020 increased by 27.5% relative to Q3 2019, reaching USD 177.84 million, while QoQ it decreased by 13.1% with Americas and EMEA declining by 13.1% and 27.9% respectively, while APAC experienced a modest increase of 1%. IPO activity was concentrated in Q3 2020, albeit the IPOs were slightly smaller than the previous quarter.
  • Notable IPOs in Q3 2020 are the following: 

Derivative markets



Q3 2020 trends in global derivatives contracts traded (volumes) varied by asset class:

  • Single stock options volumes in Q3 2020 were 1.9 billion, up by 81.2% compared to Q3 2019. The volumes in the first three quarters of 2020 were 4.9 billion. QoQ the global increase was 31.1% with Americas and APAC recording a sizeable uptick of 32.5% and 36.7% respectively, while EMEA declined by 1.5%. MoM the increase was 3.7% globally.
  • Single stock futures volumes have experienced strong growth in Q3 2020 by 133% compared to Q3 2019, reaching 0.9 billion. The volumes in the first three quarters of 2020 were 2.2 billion. QoQ the increase was less but still significant of 41.6% with all regions trading more contracts: Americas by 123.4%, APAC by 25% and EMEA 46.8%. MoM single stock futures volumes went down by 0.8%.
  • Stock index options volumes were up in Q3 2020 compared to Q3 2019 by 31.6%, amounting to 2.3 billion. The volumes in the first three quarters of 2020 were 6.3 billion. QoQ the increase was 20.4%, due solely to APAC which grew by 26%, while Americas and EMEA declined by 8% and 17.5% respectively. MoM the increase in volumes was 20.5%.
  • Stock Index futures volumes in Q3 2020 were up by 41.7% compared to Q3 2019, reaching 1.6 billion, and 7.0% QoQ, solely due to Americas which saw an uptick of 15.6% while APAC and EMEA volumes fell by 4.4% and 14.3% respectively. The volumes in the first three quarters of 2020 were 4.9 billion. MoM the volumes recorded an increase of 25.9%.
  • ETF options volumes increased by 73.1% compared to Q3 2019, amounting to 0.8 billion, and down by 0.8% QoQ, with Americas declining by 0.8% while APAC increasing by 25.6%. The volumes in the first three quarters of 2020 were 2.2 billion. MoM the volumes registered an uptick of 11.7%.
  • ETF futures volumes were up by 12.8% compared to Q3 2019, reaching 0.24 million. The volumes in the first three quarters of 2020 were 0.72 million. QoQ the same trend is noticeable by a greater percent of 26.7%, while MoM the trading slowed by 1.8%.
  • Currency options volume in Q3 2020 were down by 8.5% compared to Q3 2019, amounting to 0.3 billion and up 34.6% QoQ, due to Americas and APAC which recorded an uptick of 1.2% and 37.6% respectively, while EMEA went down by 4.2%. The volumes in the first three quarters of 2020 were 0.9 billion. MoM in Sept 2020 were traded more currency options contracts by 3.2%.
  • Currency futures volumes in Q3 2020 went up by 30.6% compared to Q3 2019, amounting to 0.9 billion. QoQ the same trend was noticed but by only 24.6%, due to all regions experiencing an increase of 21.9% in the Americas, 16.8% in APAC and 38.9% in EMEA. The volumes in the first three quarters of 2020 were 2.4 billion. MoM more contracts were traded in September by 20.6%.
  • Interest rate options recorded a decrease in volumes in Q3 2020 compared to Q3 2019 of 54.3%, reaching only 0.1 billion. The same trend was noticed QoQ, volumes falling by 21.9%: Americas and EMEA fell by 20.4% and 34.5% respectively, while in APAC the volumes increased from 0.06 million to 2.21 million. The volumes in the first three quarters of 2020 were 0.5 billion. MoM the volumes went up by 6.6%.
  • Interest rate futures volumes fell by 30.5 in Q3 2020 compared to Q3 2019, amounting to 0.7 billion. QoQ the fall was less sharp of only 3.2%, due to Americas’ downtick of 7.3%, while APAC and EMEA went up by 10.5% and 3.2% respectively. The volumes in the first three quarters of 2020 were 2.6 billion. MoM volumes declined by 6.6%.
  • Commodities options saw a growth in trades compared with Q3 2019 of 8.2%, reaching 78.7 million. QoQ the growth was more pronounced, of 15.7% due to Americas and APAC volumes increasing by 4.8% and a sizeable 65.3%, respectively, while EMEA volumes fell by 17.8%. The volumes in the first three quarters of 2020 were 0.2 billion. MoM there is a significant 30.3% increase globally.
  • Commodities futures volumes were up 23.2% compared to Q3 2019, amounting to 2.3 billion. QoQ the increase is a more modest 8.3% due entirely to the APAC region which saw an uptick of 22.1% while Americas and EMEA volumes fell by 8.5% and 24.6% respectively. The volumes in the first three quarters of 2020 were 6.5 billion. MoM the increase registered is of 8.9%.
derivatives market update equity market update q3 2020 market update