MarketAxess Announces Monthly Volume Statistics for January 2023
“In January, we generated record credit average daily volume of
Open Trading estimated price improvement2 was approximately
We believe that the current operating environment, characterized by increasing asset inflows and higher industry volumes, reflects market participants’ increasing comfort with operating in a higher interest rate environment. We believe that this continued normalization of market conditions creates a favorable macro-backdrop for our model and that our enhanced product and geographic footprint, higher levels of estimated market share, and increasing
Select
-
Record
$14.0 billionintotal credit average daily volume (“ADV”), up 17% from$12.0 billion in the prior year. -
14% increase in
U.S. high-grade ADV to$6.2 billion with estimated market share of 19.5%. The January new issue calendar was robust and credit market volatility declined. -
11% increasein
U.S. high-yield ADV to$1.9 billion withestimated market share of 16.8%, up from 15.3%. -
Record emerging markets ADV of
$3.4 billion, up 12%. Emerging markets local markets volume up 26% fromJanuary 2022 levels. -
33% increase in Eurobonds ADVtoa record
$1.9 billion with 16.8%(+580 bps) estimated Eurobonds market share, up from 11.0%. -
$516 million in municipal bondADV, up 81%, with record estimated market share of 6.6%(+150 bps). - 90% of credit volume on the platform was executed by institutional clients.
-
35% of total credit trading volume was executed via Open Trading®. Estimated price improvement2 via Open Trading was approximately
$71 million, and average estimated price improvement per million was$809 . -
$9.7 billion in Portfolio Trading volume, up 80% from$5.4 billion in the prior year. -
The preliminary FPM1 for total credit for
January 2023 was approximately$160 , compared to$165 inDecember 2022 . The decrease in the preliminary FPM inJanuary 2023 compared toDecember 2022 was driven principally by mix across credit products. The preliminary FPM1 for total rates was$4.10 , in line withDecember 2022 levels
*All comparisons versus
Table 1:
CREDIT | RATES | ||||||||||
$ in millions
|
US/ |
Total
|
Total
|
High-Grade |
High-Yield |
Emerging
|
Eurobonds |
Municipal Bonds |
Total
|
US Govt.
|
Agcy./Other
|
Jan-23 |
20/21 |
|
|
|
|
|
|
|
|
|
|
Jan-22 |
20/20 |
|
|
|
|
|
|
|
|
|
|
% Change |
|
2% |
17% |
14% |
11% |
12% |
33% |
81% |
(5%) |
(5%) |
2% |
Table 1A:
CREDIT | RATES | ||||||
|
High-Grade |
High-Yield |
High-Grade/High-Yield Combined |
Eurobonds |
Composite Corporate Bond4 |
Municipals |
US Govt.
|
Jan-23 |
19.5% |
16.8% |
18.8% |
16.8% |
18.8% |
6.6% |
3.7% |
Jan-22 |
21.8% |
15.3% |
19.8% |
11.0% |
18.2% |
5.1% |
3.5% |
Bps Change |
(230) bps |
+150 bps |
(100) bps |
+580 bps |
+60 bps |
+150 bps |
+20 bps |
Table 1B: Rolling 6-month trading ADV (period ending
CREDIT | RATES | ||||||||||
$ in millions
|
US/ |
Total
|
Total
|
High-Grade |
High-Yield |
Emerging
|
Eurobonds |
Municipal Bonds |
Total
|
US Govt.
|
Agcy./Other
|
Jan-23 |
125/127 |
|
|
|
|
|
|
|
|
|
|
Jan-22 |
125/127 |
|
|
|
|
|
|
|
|
|
|
% Change |
|
12% |
22% |
22% |
27% |
7% |
26% |
247% |
7% |
7% |
5% |
Table 1C: Rolling 6-month estimated market share (period ending
CREDIT | RATES | ||||||
|
High-Grade |
High-Yield |
High-Grade/High-Yield Combined |
Eurobonds |
Composite Corporate Bond4 |
Municipals |
US Govt.
|
Jan-23 |
20.8% |
19.5% |
20.5% |
17.8% |
20.5% |
5.1% |
3.3% |
Jan-22 |
21.1% |
15.3% |
19.4% |
12.8% |
18.6% |
2.9% |
2.9% |
Bps Change |
(30) bps |
+420 bps |
+110 bps |
+500 bps |
+190 bps |
+220 bps |
+40 bps |
1 The FPM for total credit and total rates for the month of
2 Estimated price improvement consists of estimated liquidity taker price improvement (defined as the difference between the winning price and the best disclosed dealer cover price) and estimated liquidity provider price improvement (defined as the difference between the winning price and then current Composite+ bid or offer level, offer if the provider is buying, bid if provider is selling) at the time of the inquiry.
3 The number of
4 Composite corporate bond estimated market share is defined as combined estimated market share across
Reported
Cautionary Note Regarding Forward-Looking Statements
This press release may contain forward-looking statements, including statements about the outlook and prospects for Company and industry growth, as well as statements about the Company’s future financial and operating performance. These and other statements that relate to future results and events are based on MarketAxess’ current expectations. The Company’s actual results in future periods may differ materially from those currently expected or desired because of a number of risks and uncertainties, including: global economic, political and market factors; risks relating to the COVID-19 pandemic, including the possible effects of the economic conditions worldwide resulting from the COVID-19 pandemic; adverse effects as a result of climate change or other ESG risks that could affect our reputation; the level of trading volume transacted on the
About
Table 2: Trading Volume Detail |
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|
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|
|
Month Ended |
|
|
||||||||||||||||||||||
In millions (unaudited) |
|
|
2023 |
|
|
2022 |
|
|
% Change |
|
|
||||||||||||||||
|
|
|
Volume |
|
|
ADV |
|
|
Volume |
|
|
|
ADV |
|
|
Volume |
|
|
ADV |
|
|
||||||
Credit |
|
|
|
|
|
|
|
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|
|
|
|
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|
|
|
|
|
|
|
High-grade |
|
|
$ |
124,458 |
|
|
$ |
6,223 |
|
|
$ |
109,241 |
|
|
|
$ |
5,462 |
|
|
|
13.9 |
|
% |
|
13.9 |
|
% |
High-yield |
|
|
|
37,460 |
|
|
|
1,873 |
|
|
|
33,595 |
|
|
|
|
1,680 |
|
|
|
11.5 |
|
|
|
11.5 |
|
|
Emerging markets |
|
|
|
68,878 |
|
|
|
3,444 |
|
|
|
61,531 |
|
|
|
|
3,077 |
|
|
|
11.9 |
|
|
|
11.9 |
|
|
Eurobonds |
|
|
|
40,598 |
|
|
|
1,933 |
|
|
|
28,980 |
|
|
|
|
1,449 |
|
|
|
40.1 |
|
|
|
33.4 |
|
|
Other credit |
|
|
|
10,536 |
|
|
|
527 |
|
|
|
6,001 |
|
|
|
|
300 |
|
|
|
75.6 |
|
|
|
75.7 |
|
|
Total credit trading1 |
|
|
|
281,930 |
|
|
|
14,000 |
|
|
|
239,348 |
|
|
|
|
11,968 |
|
|
|
17.8 |
|
|
|
17.0 |
|
|
Rates |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
442,086 |
|
|
|
22,104 |
|
|
|
467,049 |
|
|
|
|
23,352 |
|
|
|
(5.3 |
) |
|
|
(5.3 |
) |
|
Agency and other government bonds1 |
|
|
|
9,447 |
|
|
|
457 |
|
|
|
9,254 |
|
|
|
|
449 |
|
|
|
2.1 |
|
|
|
1.8 |
|
|
Total rates trading |
|
|
|
451,533 |
|
|
|
22,561 |
|
|
|
476,303 |
|
|
|
|
23,801 |
|
|
|
(5.2 |
) |
|
|
(5.2 |
) |
|
Total trading |
|
|
$ |
733,463 |
|
|
$ |
36,561 |
|
|
$ |
715,651 |
|
|
|
$ |
35,769 |
|
|
|
2.5 |
|
|
|
2.2 |
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Number of |
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20 |
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20 |
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Number of |
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21 |
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20 |
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1 Consistent with FINRA TRACE reporting standards, both sides of trades are included in the Company's reported volumes when the Company executes trades on a matched principal basis between two counterparties. |
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2 Consistent with industry standards, |
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3 The number of |
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4 The number of |
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View source version on businesswire.com: https://www.businesswire.com/news/home/20230202005926/en/
INVESTOR RELATIONS
+1 212 813 6313
sdavidson2@marketaxess.com
MEDIA RELATIONS
+1 917 267 1232
mmistry@marketaxess.com
RF | Binder
+1 917 239 6726
Source: