Tradeweb, the global operator of electronic marketplaces for rates, credit, equities, and money markets, has revealed a total trading volume of $19.6 trillion for May 2021.
The average daily volume (ADV) for the month was $980.4 billion, an increase of 23.9 per cent year over year.
For equities, US exchange-traded funds (ETF) ADV was $5.7 billion representing a year-on-year (YoY) increase of 51.5 per cent. European ETF ADV was also on the upward trend at $2.3 billion, an increase of 41 per cent YoY.
Tradeweb identifies that growth and adoption, particularly among institutional clients, continued to drive volumes.
Meanwhile, US government bond ADV was up 14.4 per cent YoY to $105 billion, and European government bond ADV was up 20 per cent YoY to $30.9 billion.
According to Tradeweb, client activity in streams and session-based trading increased for US treasuries as more firms adopted these protocols.
Steady global government bond issuance remained supportive of trading generally despite waning market volatility.
Swaps ADV was up 16.7 per cent YoY to $151 billion, and total rates derivatives ADV was up 6.1 per cent YoY to $237.3 billion.
Tradewen explains the swaps volumes were driven by record institutional swap execution facility market share and continued engagement from international clients, across protocols and in both developed and emerging markets.
Lee Olesky, Tradeweb CEO, comments: "The secular trend towards more electronic trading and digital workflows continued at an accelerated pace in May.”
“While volatility in many markets was lower compared to May 2020, each of our asset classes showed signs of greater adoption as Tradeweb’s average daily volume for the month was up 24 per cent year over year. This broad momentum demonstrates just how vital electronic trading has become to client workflows,” he adds.
