Tradeweb reports 29.8% YoY rise in repo ADV for 2024
08 January 2025 US, Europe
Image: Wimon/stock.adobe.com
Tradeweb has reported a 29.8 per cent year-on-year (YoY) rise in repo average daily volume (ADV) traded on its platform in 2024, generating US$623.7 billion.
From a monthly perspective, repo ADV climbed up 33.9 per cent YoY to $681.3 billion in December.
A continued increase in client activity on the repo trading platform drove the repo volumes, according to the global electronic marketplace operator.
鈥淕rowth was driven by the unwinding of the Fed鈥檚 balance sheet and a continued shift of assets from the reverse repo facility,鈥� says Tradeweb. 鈥淩etail money market activity remained strong, driven by cash flowing into the front end as the Fed cut rates in December 2024.鈥�
For rates trades, US government bond ADV was up 31.8 per cent YoY, generating US$210.2 billion for the month. European government bond ADV increased by 8.9 per cent YoY to US$36.4 billion.
According to Tradeweb, US Treasuries were led by growth across the institutional and wholesale client channels, while European government bond ADV growth was driven by increased volumes in the firm鈥檚 institutional client channel.
The ADV for swaps and swaptions grew by 22.6 per cent YoY to US$410.4 billion in December, with total rates derivatives ADV up 34.5 per cent YoY, generating US$690.3 billion.
Tradeweb contributes this activity to healthy risk trading activity due to continued uncertainty surrounding central bank policy and inflation.
In credit markets, fully electronic US credit ADV was up 24.5 per cent YoY to US$6.9 billion. European credit ADV grew by 8.8 per cent YoY to US$1.8 billion.
US credit volumes were driven by increased client adoption, says the firm, while European credit volumes were supported by an increase in portfolio trading activity, as well as selection tools.
Commenting on the figures, Billy Hult, CEO of Tradeweb, says: 鈥淲e had an incredibly active fourth quarter, setting records within money markets and rates, and that growth culminated in December, when we reached a record 19.9 per cent share of fully electronic US high grade TRACE.鈥�
From a monthly perspective, repo ADV climbed up 33.9 per cent YoY to $681.3 billion in December.
A continued increase in client activity on the repo trading platform drove the repo volumes, according to the global electronic marketplace operator.
鈥淕rowth was driven by the unwinding of the Fed鈥檚 balance sheet and a continued shift of assets from the reverse repo facility,鈥� says Tradeweb. 鈥淩etail money market activity remained strong, driven by cash flowing into the front end as the Fed cut rates in December 2024.鈥�
For rates trades, US government bond ADV was up 31.8 per cent YoY, generating US$210.2 billion for the month. European government bond ADV increased by 8.9 per cent YoY to US$36.4 billion.
According to Tradeweb, US Treasuries were led by growth across the institutional and wholesale client channels, while European government bond ADV growth was driven by increased volumes in the firm鈥檚 institutional client channel.
The ADV for swaps and swaptions grew by 22.6 per cent YoY to US$410.4 billion in December, with total rates derivatives ADV up 34.5 per cent YoY, generating US$690.3 billion.
Tradeweb contributes this activity to healthy risk trading activity due to continued uncertainty surrounding central bank policy and inflation.
In credit markets, fully electronic US credit ADV was up 24.5 per cent YoY to US$6.9 billion. European credit ADV grew by 8.8 per cent YoY to US$1.8 billion.
US credit volumes were driven by increased client adoption, says the firm, while European credit volumes were supported by an increase in portfolio trading activity, as well as selection tools.
Commenting on the figures, Billy Hult, CEO of Tradeweb, says: 鈥淲e had an incredibly active fourth quarter, setting records within money markets and rates, and that growth culminated in December, when we reached a record 19.9 per cent share of fully electronic US high grade TRACE.鈥�
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