MarketAxess Posts Impressive January Demand, Volume Jumped 24%

Thursday, 03/02/2022 | 13:36 GMT by Arnab Shome
  • It was the second-best month in the platform’s operating history.
  • Demand for rates instruments increased 41 percent.
Revenue
Fiscal Year 2023

US-listed MarketAxess Holdings (Nasdaq: MKTX) has published its demand metrics for January 2022, reporting a total trading volume of $715.7 billion. That figure has increased by 24 percent year-over-year.

MarketAxess is an electronic trading platform for fixed-income securities. Additionally, it provides market data and post-trade services for the global fixed-income markets. Out of the total reported volume, $239.3 billion was generated from credits and $476.3 billion came from rates volume. While demand for rates trading jumped by 41 percent, credits witnessed a downfall of 8 percent.

Institutions Dominated

In addition, the platform detailed that 91 percent of the credit volume came from institutional trading , whereas the rest came from dealer-to-dealer transactions.

Further, MarketAxess executed an estimated average of $270 million in portfolio trades last month, compared to the $208 million per day execution rate in the fourth quarter of 2021.

“We registered our second-highest month of total trading volume ever in January, with several notable highlights,” Rick McVey, the Chairman and CEO of MarketAxess, said.

“U.S. Credit trading activity rebounded nicely in January after three straight quarters of low credit market volatility, and Emerging Market ADV reached a new monthly record of $3.1 billion. U.S. Treasury volumes grew 40% year-over-year with an expansion of our Rates active client base. We are seeing promising signs of volatility beginning to pick-up in global fixed income markets, creating increased demand for our Open Trading liquidity solutions.”

Meanwhile, the company is poised to strengthen its leadership. It onboarded Kathryn Sweeney last October as the Head of Index and ETF Solutions following the addition of Charles Li to its board.

Over the recent years, MarketAxess has expanded its footprint with the acquisition of MuniBrokers and LiquidityEdge.

US-listed MarketAxess Holdings (Nasdaq: MKTX) has published its demand metrics for January 2022, reporting a total trading volume of $715.7 billion. That figure has increased by 24 percent year-over-year.

MarketAxess is an electronic trading platform for fixed-income securities. Additionally, it provides market data and post-trade services for the global fixed-income markets. Out of the total reported volume, $239.3 billion was generated from credits and $476.3 billion came from rates volume. While demand for rates trading jumped by 41 percent, credits witnessed a downfall of 8 percent.

Institutions Dominated

In addition, the platform detailed that 91 percent of the credit volume came from institutional trading , whereas the rest came from dealer-to-dealer transactions.

Further, MarketAxess executed an estimated average of $270 million in portfolio trades last month, compared to the $208 million per day execution rate in the fourth quarter of 2021.

“We registered our second-highest month of total trading volume ever in January, with several notable highlights,” Rick McVey, the Chairman and CEO of MarketAxess, said.

“U.S. Credit trading activity rebounded nicely in January after three straight quarters of low credit market volatility, and Emerging Market ADV reached a new monthly record of $3.1 billion. U.S. Treasury volumes grew 40% year-over-year with an expansion of our Rates active client base. We are seeing promising signs of volatility beginning to pick-up in global fixed income markets, creating increased demand for our Open Trading liquidity solutions.”

Meanwhile, the company is poised to strengthen its leadership. It onboarded Kathryn Sweeney last October as the Head of Index and ETF Solutions following the addition of Charles Li to its board.

Over the recent years, MarketAxess has expanded its footprint with the acquisition of MuniBrokers and LiquidityEdge.

About the Author: Arnab Shome
Arnab Shome
  • 6639 Articles
  • 100 Followers
About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 6639 Articles
  • 100 Followers

More from the Author

Institutional FX

!"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|} !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}