Total Volume of $25.0 Trillion and Average Daily Volume of $1.19 Trillion
Tradeweb Markets Inc. (Nasdaq: TW), a leading, global operator of electronic marketplaces for rates, credit, equities and money markets, today reported trading volume for May 2022. Total trading volume for May 2022 was $25.0 trillion (tn). Average daily volume (ADV) for the month was $1.19tn, an increase of 21.4 percent (%) year-over-year (YoY).
In May, Tradeweb set new ADV records in fully electronic U.S. High Grade credit, Repurchase Agreements and municipal bond trading.
U.S. government bond ADV was up 29.4% YoY to $136.0 billion (bn),1 and European government bond ADV was up 16.4% YoY to $36.0bn.
- Trading in U.S. government bonds was supported by strong client activity in institutional and wholesale markets; the continued momentum of session-based trading and streaming protocols; and the addition of the Nasdaq Fixed Income business. Global government bond trading remained strong amidst heightened rates market volatility as yields continued to rise across developed markets.
Mortgage ADV was down 19.4% YoY to $150.3bn.
- Declining issuance and rising yields continued to weigh on overall market activity.
Swaps/swaptions ≥ 1-year ADV was up 42.3% YoY to $214.9bn, and total rates derivatives ADV was up 59.0% YoY to $377.3bn.
- Swaps/swaptions ≥ 1-year volumes were driven by robust client interest in the request-for-market (RFM) protocol, increased engagement from international clients and strong trading activity in emerging markets swaps. Ongoing market focus on evolving central bank policy continued to buoy overall market activity.
Fully electronic U.S. Credit ADV was up 32.8% YoY to $4.1bn and European credit ADV was down 0.9% YoY (up 9.1% YoY in EUR terms) to $1.7bn.
- U.S. and European credit volumes reflected continued client adoption across all Tradeweb protocols, including RFQ, Tradeweb AllTrade and portfolio trading. Record ADV in U.S. High Grade was buoyed by record RFQ trading. Reported European volumes were impacted by a strong U.S. dollar. In May, Tradeweb captured fully electronic share of U.S. High Grade and U.S. High Yield TRACE of 13.7% and 5.8%, respectively.
Credit derivatives ADV was up 99.4% YoY to $16.9bn.
- Market-wide volatility continued to boost volumes overall.
U.S. ETF ADV was up 33.5% YoY to $7.6bn and European ETF ADV was up 20.6% YoY to $2.7bn.
- Growth in global institutional client trading, up 55.0% YoY, was driven by record activity in the U.S. and further adoption of RFQ as market volatility remained elevated.
Repurchase Agreement ADV was up 13.8% YoY to $420.3bn.
- Increased client adoption of Tradeweb’s electronic trading solutions drove record Global Repo activity, even as elevated usage of the Federal Reserve’s reverse repo facility continued to weigh on the overall repo market. Retail money markets activity remained measured in the low interest rate environment, despite its recent pickup.
For the complete report go to https://www.tradeweb.com/newsroom/monthly-activity-reports/.
About Tradeweb Markets
Tradeweb Markets Inc. (Nasdaq: TW) is a leading, global operator of electronic marketplaces for rates, credit, equities and money markets. Founded in 1996, Tradeweb provides access to markets, data and analytics, electronic trading, straight-through-processing and reporting for more than 40 products to clients in the institutional, wholesale and retail markets. Advanced technologies developed by Tradeweb enhance price discovery, order execution and trade workflows while allowing for greater scale and helping to reduce risks in client trading operations. Tradeweb serves approximately 2,500 clients in more than 65 countries. On average, Tradeweb facilitated more than $1 trillion in notional value traded per day over the past four quarters. For more information, please go to www.tradeweb.com.
This release contains forward-looking statements within the meaning of the federal securities laws. Statements related to, among other things, our outlook and future performance, the industry and markets in which we operate, our expectations, beliefs, plans, strategies, objectives, prospects and assumptions and future events are forward-looking statements.
We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control. These and other important factors, including those discussed under the heading “Risk Factors” in documents of Tradeweb Markets Inc. on file with or furnished to the SEC, may cause our actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements. Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements contained in this release are not guarantees of future performance and our actual results of operations, financial condition or liquidity, and the development of the industry and markets in which we operate, may differ materially from the forward-looking statements contained in this release. In addition, even if our results of operations, financial condition or liquidity, and events in the industry and markets in which we operate, are consistent with the forward-looking statements contained in this release, they may not be predictive of results or developments in future periods.
Any forward-looking statement that we make in this release speaks only as of the date of such statement. Except as required by law, we do not undertake any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise, after the date of this release.
1 U.S. government bond volumes include wholesale U.S. Treasury volumes from the Nasdaq Fixed Income business Tradeweb acquired on June 25, 2021.
Today Tradeweb reported trading volume for May 2022. Total trading volume for May 2022 was $25.0tn and ADV for the month was $1.19tn, an increase of 21.4% YoY.