For the month of September 2018, Tradeweb Markets set a new record for trade volume. Activity was higher year-over-year and month-over-month in nearly all products on the platform. Average daily volume (ADV) for Tradeweb Markets of $592 billion (bn) across rates, credit, money markets and equities in September 2018 increased 27.5 percent (%) compared to the prior year and 19.5% versus August, while average daily trades totaled 42,639. Year-to-date, total volumes have surpassed $100tn as well as full-year volumes for all of 2017.
Yields in government bonds generally moved higher in September with the U.S. 5 Year Treasury hitting 2.98%, its highest level since September 2008. In addition, the Japanese 10 Year bond reached 0.13% – highest level since January 2016 – the U.K. 10 Year Gilt rose to 1.63% and the Italian 10 Year BTP nished the month closing up 27 basis points in a single day.
At Tradeweb, average daily volume (ADV) in U.S. high-grade credit surpassed $2bn per day in September for the rst time with fully electronic high-grade volumes representing 3.8% of TRACE. ADV in repos of $164bn exceeded the previous record on the platform set in 2011. Rates derivative volume rose 40% year-over-year due to continued growth in trading on the SEF as well as strong activity on the MTF. Government bond volumes remain robust, with both U.S. and European government bond volumes up over 20% year-over-year. New enhanced functionality launched to streamline some CDS trading helped drive year-over-year volume growth of 17% in credit derivatives. U.S. and European ETF trading have seen strong adoption of AiEX, with over 40% of total tickets now transacting via automated trading.
- Total volumes have surpassed $100 trillion year to date, already exceeding full-year 2017 volumes.
- Repo daily trading of $164.5 billion surpassed the previous record set in 2011.
- U.S. high-grade corporate bond volume surpassed $2 billion in September with all-electronic volume exceeding $1 billion for the first time. Daily trading in U.S. high-grade rose 96.4% year over year.
- U.S. and European ETF trading continued to show strong adoption of our automated trading protocol, AiEX, with over 40% of total September ETF tickets traded via AiEX.