Credit derivatives volumes continue to rise

The credit derivatives market grew by 81% in 2007 to reach $62.2 trillion in outstanding notional, according to figures from the International Swaps and Derivatives Association.

In its 2007 market survey, Isda said equity derivatives notionals did not grow in the second half of the year, ending 2007 at $10 trillion. Interest rate derivatives grew to $382.3 trillion from $347.1 trillion at mid-year and $285.7 trillion at the end of 2006.

The total notional amount outstanding of $454.5 trillion across asset classes equates to a gross mark-to-market value of $9.8 trillion and a credit exposure after netting of $2.3 trillion.

Isda's New York-based executive director and