Record Investor and Dealer Trading in Global Emerging Markets Bonds on MarketAxess
October 08 2019 - 7:00AM
MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a
leading electronic trading platform for fixed-income securities,
and the provider of market data and post-trade services for the
global fixed-income markets, has seen record adoption of its
electronic trading capabilities for Emerging Markets
debt.
A record of over $131 billion of Emerging Markets debt was
traded over the MarketAxess platform in the third quarter of 2019,
up 51% on the same period in the prior year. In addition to
volume gains, the number of active Emerging Markets participants
reached a record of 1,135 firms in the past 12 months, up 12% from
the prior year.
In Asia, a combination of increased investment in local currency
bond markets and the growing market share of regional dealers is
driving increased adoption of electronic trading. Greenwich
Associates highlights this trend in a recent report, which further
highlights the role all-to-all trading has in the region to connect
investors and dealers. Greenwich Associates research has
found that 30% of Asian fixed income debt is traded electronically,
up from 23% in the year prior.
Sandy White, Co-Head of Emerging Markets Product Management with
MarketAxess, noted, “The growth of our Emerging Markets business
can be attributed to the ability of our trading platform to
seamlessly connect investors and dealers across multiple
geographies. Our global approach with regional specialization sets
our technology apart.”
“In Asia, where regional dealers and local investors dominate
their home markets, our technology is allowing them to extend their
reach across the region and create new trading opportunities,”
Craig McLeod, Co-Head of Emerging Markets Product Management with
MarketAxess added. “This ultimately means increased liquidity and
potentially lower transactions costs as more participants gain
easier access to the market.”
MarketAxess offers liquidity in hard-currency Emerging Markets
products as well as the ability to trade EM debt denominated in 26
global local currencies. Local currency trading has grown
particularly in Asian currencies to a record of $7.4 billion in the
third quarter of 2019, up 154% on the year prior. Asian local
currency bond market liquidity available on MarketAxess includes:
Singapore Dollar, Korean Won, Malaysian Ringgit, Thai Baht,
Indonesian Rupiah and Philippine Peso.
Furthermore, MarketAxess recently expanded its “Request for
Market” (RFM) trading protocol to include support for hard currency
Emerging Market debt, in addition to local currency trading.
RFM enables trading desks to have greater control of how they
access liquidity and make prices by allowing firms to solicit
two-way pricing, ultimately supporting block trading
activity. In the third quarter of 2019, over $9.3 billion
have traded via the protocol, up 141% from 2018.
MarketAxess is also deeply committed to the quality of life in
emerging market countries. For the last seventeen years,
MarketAxess has hosted an Annual Emerging Markets Charity Trading
Day, raising nearly $1.7 million for this cause. MarketAxess will
donate up to $300,000 from Emerging Market trading revenue on
Wednesday October 23, 2019 and is encouraging all EM clients and
dealers to participate in the 2019 Emerging Markets Charity Trading
Day to meet this goal.
About MarketAxess
MarketAxess operates a leading, institutional electronic trading
platform delivering expanded liquidity opportunities, improved
execution quality and significant cost savings across global
fixed-income markets. A record $1.7 trillion of U.S.
investment-grade bonds, U.S. high yield bonds, emerging market
debt, Eurobonds and other fixed income securities traded through
MarketAxess’ patented trading technology in 2018. The global
community of 1,600 firms trading on MarketAxess today include the
world’s leading asset managers and institutional broker-dealers.
MarketAxess’ award-winning Open Trading™ marketplace is regarded as
the preferred all-to-all trading solution in the global credit
markets, creating a unique liquidity pool for a broad range of
credit market participants. Drawing on its deep data and
analytical resources, MarketAxess enables automated trading
solutions and, through its Trax® division, provides a range of pre-
and post-trade services and products.
MarketAxess is headquartered in New York and has offices in
London, Amsterdam, Boston, Chicago, Los Angeles, Miami, Salt Lake
City, San Francisco, São Paulo, Hong Kong and Singapore. For more
information, please visit www.marketaxess.com.
Media Relations Contacts: |
|
New York: |
London: |
Kyle White |
Toby West |
MarketAxess Holdings Inc. |
MarketAxess Holdings Inc. |
+1 212 813 6355 |
+44 (0)20 7709 3270 |
kwhite@marketaxess.com |
twest@marketaxess.com |
|
|
Davis MacMillan |
Tom Engleback |
RF | Binder |
Cognito |
+1 212 994 7509 |
+44 (0)20 7426 9400 |
MarketAxessPR@rfbinder.com |
marketaxess@cognitomedia.com |
|
|
|
|
MarketAxess (NASDAQ:MKTX)
Historical Stock Chart
From Aug 2024 to Sep 2024
MarketAxess (NASDAQ:MKTX)
Historical Stock Chart
From Sep 2023 to Sep 2024