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Determinants of futures contract success: Empirical examinations for the Asian futures markets

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  • Hung, Mao-Wei
  • Lin, Bing-Huei
  • Huang, Yu-Chuan
  • Chou, Jian-Hsin

Abstract

This study examines key factors that influence the success of exchange-traded futures contracts of Asian futures markets. The results show that successful futures contracts benefit from a large and volatile spot market. In addition, a smaller contract size has a positive effect on the futures trading volume, which in turn contributes to the success of the futures contract. For specific institutional factors, the choice of the trading platform and the relative size of exchanges are both important to the success of futures contracts.

Suggested Citation

  • Hung, Mao-Wei & Lin, Bing-Huei & Huang, Yu-Chuan & Chou, Jian-Hsin, 2011. "Determinants of futures contract success: Empirical examinations for the Asian futures markets," International Review of Economics & Finance, Elsevier, vol. 20(3), pages 452-458, June.
    • Handle: RePEc:eee:reveco:v:20:y:2011:i:3:p:452-458
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    References listed on IDEAS

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