Tradeweb has published its December 2018 Monthly Activity Report, which captures trading activity in fixed income, derivatives and ETF markets.
Key trends in December 2018 include:
Record December – Volumes Surge 40% Year-Over-Year: Amid heightened market volatility, average daily volume (ADV) for Tradeweb Markets was $617.4 billion across rates, credit, money markets and equities during the month of December, an increase of 40% year-over-year representing a new record for the platform
Treasury Trading Continues to Climb as Yield Curve Inverts: The front end of the yield curve inverted for the first time in more than a decade. ADV in U.S. government debt was $82.8 billion, an increase of 42.2% year-over-year. This was the highest monthly total ever on Tradeweb
Derivatives Volumes Double: ADV in rates derivatives rose 102.7% year-over-year to a new platform record of $178.1 billion in December
Tradeweb Captures Larger Share of U.S. High-Grade Credit Market: U.S. High-Grade Corporate Credit volumes grew 76.1% year-over-year, capturing a total of 4.4% of industry-wide TRACE volume in December, a new platform record for Tradeweb
European Volumes Grow, Led by Doubling in ETF Trading Activity: European ETF trading volume grew 113.6% year-over-year in December, while European Government Bond trading volume increased 39.5%, and European Credit volume grew 12.7%
Repo Market Maintains Post-Crisis Highs: ADV in Repurchase Agreements grew 34.6% year-over-year, topping $167.2 billion during the month of December, maintaining post-crisis highs
China Bond Market Activity Continues to Grow: Investor interest in Chinese markets continues apace on Tradeweb. ADV in Chinese bonds was $0.5 billion, an increase of 40.6% YOY
For the full year 2018, overall volume on the Tradeweb platform was up 37.5% over 2017 with average daily trading volume of $549.3 billion across all asset classes.
Average Daily Volumes: 2018 vs. 2017
· Interest Rate Derivatives: 104.8%
· Credit Derivatives: 78.9%
· U.S. Investment Grade Credit: 74.9%
· U.S. ETFs: 62.7%
· European ETFs: 60.8%
· European Government Bonds: 37.5%
· European Credit: 34.0%
· U.S. Treasury Bonds: 32.1%
The full Tradeweb Monthly Activity Report for December 2018 is available here: https://www.tradeweb.com/newsroom/monthly-activity-reports/