FRANKFURT May 15 Deutsche Boerse wants to diversify its business away from trading stocks, bonds and derivatives to make the exchange operator's revenues less dependent on market cycles.
Explaining the exchange operator's strategy to shareholders on Wednesday, Chief Executive Reto Francioni said: "It aims firstly at extending our business to what have up to now been off-exchange activities; secondly to pool our expertise in the area of information technology and market data; and thirdly, to expand into new markets, especially Asia."
Uncertainty about future regulation of financial markets, and the need for banks to underpin trading activities with more capital, led to a drop in trading volumes and to a 9 percent drop in revenues in 2012, Deutsche Boerse explained.
Francioni told shareholders gathered at the company's annual general meeting that bulking up revenues from non-trading activities made him "quietly confident" about the prospects for the operator of the Frankfurt Stock Exchange and the Eurex derivatives platform. (Reporting by Edward Taylor; Editing by Mark Potter)