Broker ICAP has moved deeper into freight derivatives, launching a new global dry forward freight agreement (FFA) desk.

The desk, part of TP ICAP Group, is set up across London, Copenhagen, Dubai and Singapore, giving round-the-clock coverage across the main freight trading hubs.

The move comes as swings in dry bulk rates continue to draw in a broader mix of participants, from traditional shipping players to hedge funds and banks looking to hedge or trade exposure.

ICAP said the desk will cover the main dry bulk segments, including capesize, panamax, supramax and handysize routes and time charter equivalents.

Max Nijhawan, who heads the new unit, noted that one of the key aims is to connect physical shipping players with the growing pool of financial investors active in freight derivatives.

The launch also tightens the link between ICAP’s paper and physical desks, particularly in Copenhagen, where the broker already has an established presence in dry bulk cargoes.

Dry freight remains one of the more volatile commodity-linked markets, driven by shifting trade flows, geopolitics, weather disruption and fleet supply. With around 80% of global trade moving by sea, the need for hedging tools has grown alongside the market.