Germany - Stocks traded, turnover ratio of domestic shares (%)

The value for Stocks traded, turnover ratio of domestic shares (%) in Germany was 79.42 as of 2020. As the graph below shows, over the past 45 years this indicator reached a maximum value of 377.25 in 2008 and a minimum value of 18.67 in 1979.

Definition: Turnover ratio is the value of domestic shares traded divided by their market capitalization. The value is annualized by multiplying the monthly average by 12.

Source: World Federation of Exchanges database.

See also:

Year Value
1975 20.42
1976 19.78
1977 20.23
1978 22.47
1979 18.67
1980 19.73
1981 21.89
1982 21.46
1983 37.27
1984 34.33
1985 48.02
1986 58.92
1987 194.27
1988 137.65
1989 95.31
1990 152.68
1991 118.07
1992 130.85
1993 119.90
1994 120.94
1995 100.48
1996 22.54
1997 119.75
1998 134.22
1999 91.36
2000 143.85
2001 121.40
2002 127.08
2003 94.28
2004 98.89
2005 107.15
2006 119.13
2007 154.61
2008 377.25
2009 138.34
2010 104.54
2011 132.85
2012 84.10
2013 67.80
2014 73.00
2015 84.19
2016 74.93
2017 63.58
2018 92.08
2019 64.36
2020 79.42

Development Relevance: Stock market size can be measured in various ways, and each may produce a different ranking of countries. The development of an economy's financial markets is closely related to its overall development. Well-functioning financial systems provide good and easily accessible information which can lower transaction costs and subsequently improve resource allocation and boosts economic growth. Both banking systems and stock markets enhance growth, the main factor in poverty reduction. At low levels of economic development commercial banks tend to dominate the financial system, while at higher levels domestic stock markets tend to become more active and efficient relative to domestic banks. Open economies with sound macroeconomic policies, good legal systems, and shareholder protection attract capital and therefore have larger financial markets. Recent research on stock market development shows that modern communications technology and increased financial integration have resulted in more cross-border capital flows, a stronger presence of financial firms around the world, and the migration of stock exchange activities to international exchanges. Many firms in emerging markets now cross-list on international exchanges, which provides them with lower cost capital and more liquidity-traded shares. However, this also means that exchanges in emerging markets may not have enough financial activity to sustain them, putting pressure on them to rethink their operations.

Limitations and Exceptions: Data cover measures of size (market capitalization, number of listed domestic companies) and liquidity (value of shares traded as a percentage of gross domestic product, value of shares traded as a percentage of market capitalization). The comparability of such data across countries may be limited by conceptual and statistical weaknesses, such as inaccurate reporting and differences in accounting standards. Only domestic shares are used in order to be consistent with domestic market capitalization.

Statistical Concept and Methodology: Turnover ratio is the value of electronic order book (EOB) domestic shares traded divided by their market capitalization. The value is annualized by multiplying the monthly average by 12, according to the following formula: (Monthly EOB domestic shares traded / Month-end domestic market capitalization) x 12.

Aggregation method: Weighted average

Periodicity: Annual

General Comments: Stock market data were previously sourced from Standard & Poor's until they discontinued their "Global Stock Markets Factbook" and database in April 2013. Time series have been replaced in December 2015 with data from the World Federation of Exchanges and

Classification

Topic: Financial Sector Indicators

Sub-Topic: Capital markets