Tradeweb reports lower metrics for December, but 2021 ADV hits record

abdelaziz Fathi

Tradeweb Markets, the online fixed-income trading platform, has posted a new record for average daily trading volumes for 2021, largely thanks to activity in the US and European government bond markets, along with a surge in stocks trading.

Tradeweb’s trading volumes hit $915.9 billion per day in December 2021, down from $1.18 trillion in aggregate for the month of November, but was higher year-over-year compared to the figures of December 2020.

In terms of total trading volume, Tradeweb in December 2021 failed to top its previous reading for monthly volumes, coming in at $20.0 trillion, down from $24.2 trillion in November.

Taking a quarterly perspective, Tradeweb reported total trading volume of $69.7 trillion for the fourth quarter of 2021. The company also disclosed a record ADV of $1.11 trillion for the quarter, which was up 24.1% YoY, with quarterly ADV records in U.S. government bonds. Preliminary average variable fees per million dollars of volume traded of were reported at $2.55 for the Q4 2021.

The Sep-Dec quarter capped off a record volume year for Tradeweb, with ADV for the full year exceeding $1 trillion and most product lines seeing record activity. The YoY gains at Tradeweb, which is majority-owned by Refinitiv, were also partly driven by its equities business.

Activity in US High Grade and European credit was driven by record turnover in portfolio trading, with over $300 billon exchanged hands in 2021. The New York-based company said the ADV metric was robust as client activity of sessions-based trading reached a monthly record and usage of streams liquidity was buoyed this year by the recently closed purchase of the Nasdaq Fixed Income business.

FinanceFeeds webinar: Expert panel to discuss market data for multi-asset brokerages  

Continued growth of institutional clients contributed to higher volumes. In the US, the strong growth in institutional trading more than offset declining wholesale activity as a result of waning equity market volatility.

Commenting on December trading volumes, Tradeweb CEO, Lee Olesky said: “Tradeweb facilitated record trading volume in 2021, exceeding $1 trillion in average daily volume and culminating with a record fourth quarter. This was a breakthrough year for us in credit, fueled by Tradeweb’s leadership in electronic portfolio trading and other innovations such as AiEX and sweep. In rates, we became the leading electronic trading platform for U.S. Treasuries, while interest rate volatility around the world contributed to higher volumes in government bonds and swaps globally. Looking across asset classes, trends in passive investing drove strong interest in our ETF and credit platforms, while increased automation played a powerful role in all of our markets. Most importantly, we believe 2021 represented a clear inflection point in the long-term trends towards more electronic trading.”

Read this next

Market News

USDJPY has surged to levels last witnessed in 2022. Should we consider opening a short position?

The recent resurgence of the US dollar has propelled USD/JPY to new heights, touching levels not seen since 2022. This surge comes against the backdrop of stable short-term yields and ongoing economic data that fails to signal a significant slowdown, prompting questions about the extent of current monetary easing measures.

Digital Assets

DED Trends on Twitter After Memecoin Snapshot Announcement

Polkadot-backed community coin #DED, made it to the trending charts on X, demonstrating community’s engagement and interest behind the memecoin. 

Digital Assets

BlockDAG Presale Nears $10 Million Amid Toncoin’s Momentum, Green Bitcoin’s Presale, and the Rise of Other Top Cryptos

This article will examine three top trending topics: Toncoin’s potential, Green Bitcoin’s innovative presale, and BlockDAG’s sustainable mining approach. These cryptocurrencies take centre stage for their uniqueness and innovation.

Digital Assets

Coinbase scores minor victory vs SEC, but lawsuit to proceed

A federal judge in Manhattan, U.S. District Judge Katherine Polk Failla, ruled on Wednesday that the U.S. Securities and Exchange Commission’s (SEC) lawsuit against Coinbase can largely proceed.

Web3

COTI Teams Up with Civic for Enhanced Digital Identity Control

СOTI and Civic are teaming up to enhance digital identity security in Web3, aiming to provide users with more control over their digital selves through innovative technology.

Digital Assets

BlockDAG Takes on Chainlink (LINK) Crypto, and RON With DeFi Card and 5000x Profit Potential

Explore BlockDAG’s innovative DeFi card, which transforms cryptocurrency into spendable cash, alongside Chainlink (LINK) crypto and Ronin’s advancements.

Digital Assets

Court finally decides on Sam Bankman-Fried sentence, experts predict 20 years

Sam Bankman-Fried, the former CEO of the now-defunct cryptocurrency exchange FTX, is set to face sentencing on Thursday in a pivotal moment that could see the entrepreneur beginning a lengthy period in federal prison.

Crypto Insider

DeFi Winter Thaws: A Look at the Emerging Landscape

The past year has seen a significant shift in the Decentralized Finance (DeFi) market, transitioning from a period of decline (“DeFi winter”) to a potential season of growth.

Digital Assets

KuCoin announces $10 million airdrop as users withdraw $1.2 billion

KuCoin – the fourth-largest crypto exchange in the world by trading volume – today announced plans to distribute $10 million worth of Bitcoin and its native KCS token via an airdrop event.

<