Using data from the Commodity Futures Trading Commission (CFTC), the FCM Observer tracks the most notable changes in the Futures Commissions Merchants landscape. For a more in-depth look into any of the visualizations below, please visit our FCM Dashboard.

Customer Funds in Listed Derivatives

After reaching an all-time high of $318bn in March 2020, customer funds in listed derivatives held across FCMs have since retreated by -6.81% (-$21.7bn) to $297bn as of September. At current levels, this represents a YoY change of +40.41% or +$85bn, an increase that we believe was driven mostly by traders shifting some of their OTC exposures to listed markets in response to the pandemic and the ongoing work from home situation.

Top 20 FCMs by Customer Funds in Listed Derivatives | September 2020

In this record-setting environment, J.P. Morgan has emerged as the dominant player having nearly doubled its book of business (+92.15% vs +40.41% for all FCMs combined) since September 2019. Over that period, the firm accumulated more customer funds (+$26.6bn) than its next two competitors combined (Goldman Sachs: +$12.7bn, Morgan Stanley: +$10.2bn) but also twice as much as the bottom half of the top 10 FCMs (+$13.7b).

Market Shares of Top 20 FCMs in Listed Derivatives | September 2020

The FCM landscape continues to be concentrated towards the largest participants with the Top 5 and Top 10 FCMs controlling respectively 58.86% and 77.55% of customer funds. In contrast, the 33 active FCMs outside of the Top 20 collectively represent a market share of 8.63%.

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