Tradeweb Reports June 2024 Total Trading Volume Of $37.5 Trillion And Average Daily Volume Of $1.94 Trillion

• June 2024 ADV Up 40.9% YoY
• Second Quarter 2024 ADV Up 48.3% YoY

Tradeweb Markets Inc. (Nasdaq: TW), a leading, global operator of electronic marketplaces for rates, credit, equities and money markets, today reported total trading volume for the month of June 2024 of $37.5 trillion (tn)1. Average daily volume (ADV) for the month was $1.94tn, an increase of 40.9 percent (%) year-over-year (YoY). For the second quarter of 2024, total trading volume was $121.0tn and ADV was $1.92tn, an increase of 48.3% YoY, with preliminary average variable fees per million dollars of volume traded of $2.43.2

Tradeweb CEO  Billy Hult said: “Tradeweb in Q2 reported double digit, YoY volume growth in rates, credit, money markets and equities. We set new records for quarterly ADV in U.S. government bonds, fully electronic U.S. high yield and repo, as well as capturing record share of fully electronic U.S. high grade credit. The second quarter of 2024 culminated with a strong June, led by a 54% YoY increase in rates ADV and continued momentum in credit ADV – up 67% YoY. In addition to volatility across many of our markets, Tradeweb volumes in June and throughout Q2 reflected increased adoption in a range of trading protocols and strong client engagement.”

In June 2024, Tradeweb records included:

• ADV in U.S. government bonds

For the second quarter of 2024, Tradeweb records included:

• ADV in U.S. government bonds
• ADV in fully electronic U.S. high yield
• ADV in repurchase agreements (Repo)
• Share of fully electronic U.S. high grade TRACE

June 2024 Highlights

RATES

• U.S. government bond ADV was up 50.8% YoY to $210.7 billion (bn). European government bond ADV was up 17.4% YoY to $50.5bn.
  • U.S. government bond volumes were supported by growth across all client sectors. Increased adoption across a range of protocols and favorable market conditions contributed to the increase in volume. The addition of r8fin continues to contribute positively to wholesale volumes. Market volatility and sustained primary issuance across Europe and the UK helped drive trading volume in European government bonds, especially gilts.
• Mortgage ADV was up 22.9% YoY to $208.9bn.
  • Stronger To-Be-Announced (TBA) volumes were a result of increased activity from the hedge fund community, in addition to heightened basis trading. Client participation on our securitized products platform set a new record and volume executed by mortgage originators also hit a new high.
• Swaps/swaptions ≥ 1-year ADV was up 56.0% YoY to $437.3bn and total rates derivatives ADV was up 69.1% YoY to $782.2bn.
  • Strong volume in swaps/swaptions ≥ 1-year was driven by global political uncertainty and pending central bank policy decisions, as well as a 41% increase in compression activity, which carries a lower fee per million. Client trading activity continued to increase in the request-for-market (RFM) protocol while inflation and emerging markets swap growth remained strong. 2Q24 compression activity was lower than 1Q24.

CREDIT

• Fully electronic U.S. credit ADV was up 41.4% YoY to $7.0bn and European credit ADV was up 24.2% YoY to $2.5bn.
  • U.S. credit volumes were driven by increased client adoption, most notably in request-for-quote (RFQ), portfolio trading and Tradeweb AllTrade®. Tradeweb captured 18.9% share of fully electronic U.S. high grade TRACE, and 8.1% share of fully electronic U.S. high yield TRACE. In Europe, portfolio trading and our unique dealer selection tool (SNAP IOI) saw increased client adoption.
• Municipal bonds ADV was up 30.4% YoY to $410 million (mm).
  • Volume growth outpaced the broader market, as institutional and retail volumes both surpassed 20% growth YoY amidst robust issuance.
• Credit derivatives ADV was up 92.0% YoY to $14.7bn.
  • Increased hedge fund and systematic account activity, along with heightened credit volatility, led to increased swap execution facility (SEF) and multilateral trading facility (MTF) credit default swaps activity.

EQUITIES

• U.S. ETF ADV was down 11.1% YoY to $8.1bn and European ETF ADV was up 18.1% YoY to $2.8bn.
  • ETF market volumes remained muted as market volatility remained low. On Tradeweb, U.S. ETF institutional volumes remained strong, while wholesale market volumes were lower. European ETF volumes grew as clients continued to embrace our automated rules-based trading protocol.

MONEY MARKETS

• Repo ADV was up 20.8% YoY to $599.2bn.
  • Increased client activity on Tradeweb’s electronic repo trading platform drove strong global repo activity. The combination of quantitative tightening, increased collateral supply, and current rates market activity shifted more assets from the Federal Reserve’s reverse repo facility to money markets. Retail money markets activity was strong as markets priced in less aggressive Fed rate cuts.

Please refer to the report posted to https://www.tradeweb.com/newsroom/monthly-activity-reports/ for complete information and data related to our historical monthly, quarterly and yearly ADV and total trading volume across asset classes.