MarketAxess Announces Monthly Volume Statistics for March and First Quarter 2023
MarketAxess Holdings reported record trading metrics for March 2023, achieving a total credit trading volume of $296.3 billion with an average daily volume (ADV) of $12.9 billion. Notable increases included U.S. high-grade ADV rising to $6.1 billion, contributing to an estimated 19.9% market share. Open Trading penetration reached a record 39%. Despite overall growth, emerging markets ADV fell 16% to $2.7 billion. The first quarter also performed strongly with a 14% increase in total credit ADV to $13.7 billion, driven by robust gains in high-yield and Eurobonds.
- Record total credit trading volume of $296.3 billion in March.
- 14% increase in total credit ADV in Q1 2023 to $13.7 billion.
- U.S. high-grade Open Trading penetration increased to 37%, contributing to a 19.9% market share.
- Record portfolio trading volume of $14 billion in March, up 200% from last year.
- Emerging markets ADV decreased by 16%, reflecting broader challenges in that sector.
- U.S. corporate credit ADV dropped 10% intra-month amid banking sector challenges.
Record Total Credit Volume of
Record Open Trading® Penetration of
Select
-
Record
in total credit trading volume;$296.3 billion in total credit average daily volume (“ADV”), up$12.9 billion 4% . -
Record
U.S. high-grade Open Trading® penetration1 of37% (+670 bps) on a5% increase inU.S. high-grade ADV to billion. Estimated market share of$6.1 19.9% . -
14% increase inU.S. high-yield ADV to with estimated market share of$1.8 billion 18.9% (+380 bps), up from15.1% . -
Emerging markets ADV of
billion down$2.7 16% .
—
-
25% increase in Eurobonds ADV to with$1.8 billion 16.2% (+310 bps) estimated market share, up from13.1% .4 -
36% increase in municipal bond ADV to , with estimated market share of$401 million 6.4% (+250 bps). -
Record total credit Open Trading penetration1 of
39% (+500 bps), up from34% .
— Estimated price improvement5 via Open Trading was approximately
-
Record
billion in portfolio trading volume, up$14 200% from billion.$5 -
The preliminary FPM2 for total credit for
March 2023 was approximately , in line with$166 February 2023 levels. The duration of bonds traded inU.S. high-grade was stable inMarch 2023 relative to February andJanuary 2023 . The preliminary FPM for total rates was , compared to$3.86 in$3.94 March 2022 .
*All comparisons versus
Select 1Q23 highlights**
-
Record
in total credit ADV, up$13.7 billion 14% , with total trade count up26% . -
Record
U.S. high-grade Open Trading penetration1 of34% (+350 bps) on a15% increase inU.S. high-grade ADV to billion with estimated market share of$6.3 19.9% . EstimatedU.S. high-grade TRACE market ADV increased20% to a record .$31.9 billion -
22% increase inU.S. high-yield ADV to a record with estimated market share of$2.0 billion 18.3% (+310 bps), up from15.2% . -
Record emerging markets ADV of
billion, up$3.1 1% ;MarketAxess estimated emerging markets TraX and FINRA TRACE-reportable emerging market ADV down a combined21% .3 -
24% increase in Eurobonds ADV to a record with$1.8 billion 16.0% (+380 bps) estimated market share, up from 12.2%.4 Eurobonds ADV up approximately31% excluding the impact of foreign currency fluctuations. -
55% increase in municipal bond ADV to , with estimated market share of$447 million 6.4% (+210 bps). -
Record Open Trading ADV of
, up$4.0 billion 19% , with total trade count up28% . -
Total credit Open Trading penetration1 of
37% (+210 bps), up from35% . Estimated price improvement5 via Open Trading was approximately million, and average estimated price improvement per million was$252 .$902 -
Record
billion in portfolio trading volume, up$31 125% from billion in 1Q22. Estimated$14 U.S. high-grade andU.S. high-yield portfolio trading market volume increased13% and represented approximately5% of the market in 1Q23, in line with 1Q22 levels. -
The preliminary FPM2 for total credit for the quarter was
, compared to$164.3 in 4Q22 and$163.87 in 1Q22. The preliminary FPM for total rates for the quarter was$172.54 , compared to$4.0 in 4Q22 and$4.14 in 1Q22.$3.92
**All comparisons versus 1Q22 unless otherwise noted.
“In March we generated record total credit trading volume of
Open Trading estimated price improvement4 was approximately
Our results in March contributed to strong results for the first quarter with record total credit average daily trading volume of
Table 1:
CREDIT | RATES | ||||||||||
$ in millions (unaudited) |
US/ |
Total ADV |
Total Credit |
High-Grade | High-Yield | Emerging Markets |
Eurobonds | Municipal Bonds | Total Rates |
US Govt. Bonds |
Agcy./Other Govt. Bonds |
Mar-23 | 23/23 |
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Mar-22 | 23/23 |
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% Change |
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( |
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( |
Table 1A:
CREDIT | RATES | ||||||
(unaudited) |
High-Grade | High-Yield | High-Grade/High-Yield Combined | Eurobonds | Composite Corporate Bond7 | Municipals | US Govt. Bonds |
Mar-23 |
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Mar-22 |
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Bps Change | (60) bps | +380 bps | +70 bps | +310 bps | +100 bps | +250 bps | 0 bps |
Table 1B: 1Q23 trading ADV
CREDIT | RATES | ||||||||||
$ in millions (unaudited) |
US/ |
Total ADV |
Total Credit |
High-Grade | High-Yield | Emerging Markets |
Eurobonds | Municipal Bonds | Total Rates |
US Govt. Bonds |
Agcy./Other Govt. Bonds |
1Q23 |
62/64 |
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1Q22 |
62/63 |
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% Change |
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( |
( |
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Table 1C: 1Q23 estimated market share
CREDIT | RATES | ||||||
(unaudited) |
High-Grade | High-Yield | High-Grade/High-Yield Combined | Eurobonds | Composite Corporate Bond7 | Municipals | US Govt. Bonds |
1Q23 |
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1Q22 |
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Bps Change |
(80) bps | +310 bps | +40 bps | +380 bps | +100 bps | +210 bps | (10) bps |
Table 1D: Rolling 6-month trading ADV (period ending
CREDIT | RATES | ||||||||||
$ in millions (unaudited) |
US/ |
Total ADV |
Total Credit |
High-Grade | High-Yield | Emerging Markets |
Eurobonds | Municipal Bonds | Total Rates |
US Govt. Bonds |
Agcy./Other Govt. Bonds |
Mar-23 | 123/127 |
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Mar-22 | 124/127 |
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% Change |
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( |
( |
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Table 1E: Rolling 6-month estimated market share (period ending
CREDIT | RATES | ||||||
(unaudited) |
High-Grade | High-Yield | High-Grade/High-Yield Combined | Eurobonds | Composite Corporate Bond7 | Municipals | US Govt. Bonds |
Mar-23 |
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Mar-22 |
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Bps Change | (50) bps | +400 bps | +80 bps | +430 bps | +150 bps | +200 bps | +10 bps |
1 Open Trading penetration at the product level is derived by taking total Open Trading volume in the product divided by the total product trading volume. Open Trading for total credit is derived by taking total Open Trading volume across all credit products where Open Trading is offered, and dividing by total credit trading volume across all credit products where Open Trading is offered.
2 The FPM for total credit and total rates for the month and the first quarter ended
3 Emerging markets estimated market ADV is derived by combining MarketAxess TraX emerging markets trading volume (currently estimated to represent approximately
4 Eurobonds estimated market share is derived from MarketAxess TraX data for Eurobonds and covered bonds market trading volume, which is currently estimated to represent approximately
5 Estimated price improvement consists of estimated liquidity taker price improvement (defined as the difference between the winning price and the best disclosed dealer cover price) and estimated liquidity provider price improvement (defined as the difference between the winning price and then current Composite+ bid or offer level, offer if the provider is buying, bid if provider is selling) at the time of the inquiry.
6 The number of
7 Composite corporate bond estimated market share is defined as combined estimated market share across
Reported
Cautionary Note Regarding Forward-Looking Statements
This press release may contain forward-looking statements, including statements about the outlook and prospects for Company and industry growth, as well as statements about the Company’s future financial and operating performance. These and other statements that relate to future results and events are based on MarketAxess’ current expectations. The Company’s actual results in future periods may differ materially from those currently expected or desired because of a number of risks and uncertainties, including: global economic, political and market factors; risks relating to the COVID-19 pandemic, including the possible effects of the economic conditions worldwide resulting from the COVID-19 pandemic; adverse effects as a result of climate change or other ESG risks that could affect our reputation; the level of trading volume transacted on the
About
Table 2: Trading Volume Detail |
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Month Ended |
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In millions (unaudited) |
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2023 |
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2022 |
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% Change |
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Volume |
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ADV |
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Volume |
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ADV |
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Volume |
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ADV |
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Credit |
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High-grade |
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$ |
140,951 |
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$ |
6,128 |
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$ |
134,126 |
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$ |
5,832 |
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5.1 |
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% |
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5.1 |
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% |
High-yield |
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41,930 |
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1,823 |
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36,876 |
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1,603 |
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13.7 |
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13.7 |
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Emerging markets |
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61,746 |
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2,685 |
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73,097 |
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3,178 |
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(15.5 |
) |
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(15.5 |
) |
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Eurobonds |
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41,960 |
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1,824 |
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33,656 |
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1,463 |
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24.7 |
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24.7 |
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Other credit |
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9,710 |
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422 |
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7,325 |
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318 |
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32.6 |
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32.7 |
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Total credit trading1 |
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296,297 |
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12,882 |
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285,080 |
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12,394 |
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3.9 |
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3.9 |
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Rates |
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611,850 |
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26,602 |
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599,781 |
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26,077 |
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2.0 |
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2.0 |
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Agency and other government bonds1 |
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9,147 |
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398 |
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9,760 |
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424 |
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(6.3 |
) |
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(6.1 |
) |
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Total rates trading |
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620,997 |
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27,000 |
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609,541 |
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26,501 |
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1.9 |
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1.9 |
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Total trading |
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$ |
917,294 |
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$ |
39,882 |
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$ |
894,621 |
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$ |
38,895 |
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2.5 |
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2.5 |
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Number of |
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23 |
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23 |
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Number of |
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23 |
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23 |
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Quarter and Year-to-Date Ended |
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In millions (unaudited) |
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2023 |
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2022 |
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% Change |
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Volume |
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ADV |
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Volume |
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ADV |
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Volume |
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ADV |
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Credit |
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High-grade |
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$ |
392,715 |
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$ |
6,334 |
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$ |
342,093 |
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$ |
5,518 |
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14.8 |
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% |
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14.8 |
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% |
High-yield |
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122,873 |
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1,982 |
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100,826 |
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1,626 |
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21.9 |
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21.9 |
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Emerging markets |
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191,841 |
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3,094 |
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189,740 |
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3,060 |
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1.1 |
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1.1 |
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Eurobonds |
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118,366 |
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1,849 |
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94,077 |
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1,493 |
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25.8 |
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23.8 |
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Other credit |
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28,683 |
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462 |
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19,075 |
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|
308 |
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50.4 |
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50.0 |
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Total credit trading1 |
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854,478 |
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13,721 |
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745,811 |
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12,005 |
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14.6 |
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14.3 |
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Rates |
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1,491,292 |
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24,053 |
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$ |
1,554,716 |
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25,076 |
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(4.1 |
) |
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(4.1 |
) |
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Agency and other government bonds1 |
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27,061 |
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428 |
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26,518 |
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423 |
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2.0 |
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1.2 |
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Total rates trading |
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1,518,353 |
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24,481 |
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1,581,234 |
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25,499 |
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(4.0 |
) |
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(4.0 |
) |
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Total trading |
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$ |
2,372,831 |
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$ |
38,202 |
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$ |
2,327,045 |
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$ |
37,504 |
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2.0 |
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1.9 |
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Number of |
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62 |
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62 |
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Number of |
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64 |
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63 |
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1 Consistent with FINRA TRACE reporting standards, both sides of trades are included in the Company's reported volumes when the Company executes trades on a matched principal basis between two counterparties. |
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2 Consistent with industry standards, |
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3 The number of |
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4 The number of |
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View source version on businesswire.com: https://www.businesswire.com/news/home/20230404006115/en/
INVESTOR RELATIONS
+1 212 813 6313
sdavidson2@marketaxess.com
MEDIA RELATIONS
+1 917 267 1232
mmistry@marketaxess.com
RF | Binder
+1 917 239 6726
Source:
FAQ
What was the total credit trading volume for MarketAxess in March 2023?
How much did the average daily volume (ADV) increase in Q1 2023?
What was the market share of U.S. high-grade bonds for MarketAxess?
How did the Open Trading penetration change in March 2023?