Deutsche Brse set a new turnover record in fund trading in exchange-traded funds in February 2005, two years after the previous record was set. XTF, the segment for exchange-traded index funds, recorded total turnover of EUR4.89 billion. This exceeded the previous turnover record set in March 2002 (EUR4.7 billion) by four percent.
In February, the Deutsche Bank DAX DVG was the most liquid ETF based on the Xetra liquidity measure (XLM) with 3 basis points (bp) for an order volume of EUR100,000. This meant that the fund was more liquid than the most liquid DAX stock (Siemens, at 4 bp) and achieved the highest rate of liquidity for trading in equities and equity-based index funds since the launch of the Xetra liquidity measure in July 2002. XLM is a measure of liquidity in electronic securities trading based on implicit transaction costs, and is calculated in basis points (1 bp = 0.01 percent) for every security in continuous trading for a roundtrip in the Xetra order book.
February also saw Deutsche Brse succeed in considerably improving on its position as Europe’s leading marketplace for exchange-traded funds. The XTF segment’s market share of more than 63 percent represents its highest European market share in 15 months.
Deutsche Brse’s XTF segment offers 63 index funds, the largest number of ETFs offered by any European stock exchange. Average monthly trading volume in XTF on Xetra is approximately EUR2.8 billion, or more than 50 percent of total trading volume in exchange-traded index funds for the whole of Europe.