Trade in currency futures in the Middle East is hotting up as the contracts become a favoured alternative investment vehicle.
Chief executive officer of the Dubai Gold & Commodities Exchange (DGCX) Malcolm Wall Morris said that investors in the region are looking to hedge their position in currency markets by buying up the futures.
He added that they are proving particularly popular and effective for those who either have overseas investments and those who are considering making a move into foreign markets.
"Market participants are looking for alternative asset classes to diversify their portfolios, increase returns and better manage currency exposures," added P Krishnamurthy, chief executive officer of the financial services division of Dubai International Securities.
In February, DGCX euro futures hit a record daily volume, with 2,963 contracts traded on February 4th, at a value of $191.5 million dollars.
The futures contracts accounted for 75 per cent of the daily volume.