Intercontinental Exchange, Inc. (ICE - Analyst Report) recently announced that its average daily volume (ADV) for September has increased 26.8% sequentially to 5.2 million contracts. Of this, Commodities volume displayed a 19% sequential increase and averaged nearly 3 million contracts per day, while Financials volume surged 44% sequentially and averaged 2.3 million contracts per day.
While Energy volume of 2.6 million contracts per day increased 18.2%, Agricultural and Metals volume of 0.4 million contracts climbed 33%. Also, Interest rate volume of 1.6 million contracts per day improved 23%, Equity index volume of 0.7 million soared 127%, Foreign exchange volume of nearly 0.04 million increased 71%.
Revenue per contract for Sep 2016 was 14 cents, flat sequentially as well as year over year.
For the third quarter of 2016, Credit Default Swap ("CDS") Clearing Revenue was $26 million, flat year over year.
Recently, securities exchanges CBOE Holdings Inc. (CBOE - Analyst Report) , CME Group Inc. (CME - Analyst Report) and MarketAxess Holdings Ltd. (MKTX - Analyst Report) also reported their respective September volumes. While CBOE Holdings’ average daily volume inched up 0.3% to 5.1 million contracts per day, the same for CME Group increased 6% year over year to 15 million contracts. MarketAxess’ monthly trading volume for Sep 2016 was $113.4 billion
Intercontinental Exchange continues to drive organic growth with 11 exchanges and seven clearing houses, covering nine asset classes. It is the first exchange to offer clearing in the over-the-counter energy and credit markets and accounts for more than one-third of the global cash trading. Intercontinental Exchange has demonstrated immense growth potential in its futures and OTC markets. The acquisition of NYSE in Nov 2013 consolidated Intercontinental Exchange’s position as a premier stock trading platform when it became the second-largest global exchange group allowing over 60% accretion in market capitalization. Organic growth has also been driven by a strong portfolio of future and options’ contracts .Since its IPO in Nov 2005, Intercontinental Exchange has grown its bottom line by 5x and share price by 10x.
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