Tradeweb Markets Inc., a global operator of electronic marketplaces for bonds, rates, credit, equities, and money markets, reported total trading volume for December of $63 trillion. Average daily volume for the month reached $2.8 trillion, up 28% compared with December 2024.

Institutional Flows Hint at Retail Markets

While retail investors do not trade directly on Tradeweb, the platform’s record activity offers insights into broader market trends. Much of the growth came from U.S. and European government bonds, swaps, and mortgage trading. U.S. government bond activity increased 5.7% year-over-year, while European government bonds rose 46.5%.

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Mortgage trading climbed 10%, driven by real-money accounts and institutional participation.

Credit, Equities, Money Markets Show Growth

Credit markets were also active. Municipal bonds increased 10% YoY, and U.S. high-grade and high-yield credit saw strong adoption of electronic protocols.

Equities Equities Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Read this Term showed growth in U.S. ETFs, which rose 9% YoY, while international ETFs remained largely unchanged. Money markets, particularly repo trading, grew 16% as institutions adjusted portfolios at year-end.

These trends illustrate where institutional flows are concentrated and how they can affect markets accessible to retail investors, including bond ETFs, municipal bonds, and other interest-rate sensitive assets.

Tradeweb CEO Billy Hult said the quarter ended with “solid average daily volume momentum” and highlighted “broad client engagement across global markets.”

Electronic Trading Growth Influences Market Sentiment

Tradeweb’s strong first-quarter performance last year set the stage for December’s record activity, reflecting a clear trend of rising institutional engagement. Q1 ADV reached $2.5 trillion, with revenue up nearly 25% YoY, supported by broad-based growth across rates, credit, mortgages, and swaps.

Rising adoption of electronic trading protocols and robust participation from institutional and wholesale clients underpinned this momentum. For retail investors, the expanding liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term and activity in these markets can influence accessible instruments such as bond and ETF products, providing insight into market sentiment, yield movements, and potential volatility.