Tradeweb 2024 ADV Rises 55.8%

• December 2024 ADV up 48.9% YoY
• Fourth Quarter 2024 ADV up 36.7% YoY
• Full Year 2024 ADV up 55.8% YoY¹

Tradeweb Markets, a leading, global operator of electronic marketplaces for rates, credit, equities and money markets, reported total trading volume for the month of December 2024 of $48.2 trillion (tn)². Average daily volume (ADV) for the month was $2.18tn, an increase of 48.9 percent (%) year-over-year (YoY). For the fourth quarter of 2024, total trading volume was $151.7tn and ADV was $2.29tn, an increase of 36.7% YoY, with preliminary average variable fees per million dollars of volume traded of $2.28³. Excluding the impact of the ICD acquisition, which closed on August 1, 2024, total ADV for the month of December was up 29.5% YoY, total ADV for the fourth quarter of 2024 was up 20.0% YoY and total ADV for the full year 2024 was up 36.6% YoY.

Tradeweb CEO Billy Hult said: “We 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% share of fully electronic U.S. high grade TRACE. During 2024, we remained focused on expanding our multi-asset strategy, growing our global footprint, and entering new asset classes, and these efforts continued to deliver strong results. I’m energized by the progress we made throughout 2024 and into the fourth quarter, and I’m excited to build on this momentum in 2025.”

Record Highlights (See table below for the full breakdown of volumes)

For the month of December 2024, Tradeweb records included:

• Share of fully electronic U.S. high grade TRACE

For the fourth quarter of 2024, Tradeweb records included:

• ADV in U.S. government bonds
• ADV in mortgages
• Share of fully electronic U.S. high yield TRACE
• ADV in global repurchase agreements

For the full year of 2024, Tradeweb records included:

• ADV in U.S. government bonds
• ADV in European government bonds
• ADV in mortgages
• ADV in swaps/swaptions ≥ 1-year
• Share of and ADV in fully electronic U.S. high grade credit
• Share of and ADV in fully electronic U.S. high yield credit
• ADV in credit derivatives
• ADV in European credit
• ADV in municipal bonds
• ADV in U.S. ETFs
• ADV in European ETFs
• ADV in global repurchase agreements

December 2024 Highlights

RATES

• U.S. government bond ADV was up 31.8% YoY to $210.2 billion (bn). European government bond ADV was up 8.9% YoY to $36.4bn.
  • U.S. and European government bond activity remained strong in December. U.S. Treasuries were led by growth across the institutional and wholesale client channels. European government bond ADV growth was driven by increased volumes in our institutional client channel. This growth across cash bonds was driven by an increased number of clients trading on the platform and increased client adoption across a diverse set of trading protocols.
• Mortgage ADV was up 14.4% YoY to $200.3bn.
  • To-Be-Announced (TBA) platform volumes were largely supported by elevated dollar roll volumes from the institutional real-money community YoY. Client participation on our specified pool platform remained strong with a 30% increase YoY in the number of accounts actively trading.
• Swaps/swaptions ≥ 1-year ADV was up 22.6% YoY to $410.4bn and total rates derivatives ADV was up 34.5% YoY to $690.3bn.
  • Strong swaps/swaptions ≥ 1-year activity was driven by healthy risk trading activity due to continued uncertainty surrounding central bank policy and inflation. This was helped by a 19% YoY increase in compression activity, which carries a lower fee per million, following year-end flows. 4Q24 compression volumes as a percentage of swaps/swaptions ≥ 1-year volumes was lower than 3Q24. An increasing number of clients continued to leverage the request-for-market (RFM) list functionality across global currencies.

CREDIT

• Fully electronic U.S. credit ADV was up 24.5% YoY to $6.9bn and European credit ADV was up 8.8% YoY to $1.8bn.
  • U.S. credit volumes were driven by increased client adoption, most notably in request-for-quote (RFQ), portfolio trading and Tradeweb AllTrade®. Tradeweb captured a record 19.9% share of fully electronic U.S. high grade TRACE and 8.9% share of fully electronic U.S high yield TRACE, respectively, as measured by Tradeweb. European credit volumes were driven by an increase in portfolio trading activity YoY, as well as continued adoption of Tradeweb’s Automated Intelligent Execution (AiEX) and dealer selection tools. Client adoption of Tradeweb AllTrade® saw strong growth YoY in European credit.
• Municipal bonds ADV was up 11.3% YoY to $461 million (mm).
  • Municipal bonds ADV on our retail and institutional platforms was up 12.7% and 11.3%, respectively, outperforming the market, which was up 2.6%⁴ YoY.
• Credit derivatives ADV was up 42.0% YoY to $10.7bn.
  • Increased hedge fund and systematic account activity, along with heightened credit volatility, led to increased swap execution facility (SEF) and multilateral trading facility (MTF) credit default swaps activity.

EQUITIES

• U.S. ETF ADV was down 13.9% YoY to $9.4bn and European ETF ADV was up 6.1% YoY to $3.3bn.
  • U.S. and European ETF institutional volumes were up YoY as more clients embraced electronic RFQ trading and utilized Tradeweb’s automated rules-based RFQ offering.

MONEY MARKETS

• Repo ADV was up 33.9% YoY to $681.3bn.
  • Robust repo volumes were led by increased client activity across the platform. Growth was driven by unwinding of the Fed’s balance sheet and a continued shift of assets from the reverse repo facility. Retail money markets activity remained strong, driven by cash flowing into the front end as the Fed cut rates in December 2024.
• Other Money Markets ADV was up YoY to $304.1bn.
  • Other money markets volume growth was driven by the inclusion of ICD volumes in December 2024.

YoY Volume for December 2024, Q4 2024 and Full Year (FY) 2024

Please refer to the report posted to https://www.tradeweb.com/newsroom/monthly-activity-reports/ for complete information and data related to our historical monthly, quarterly and yearly ADV and total trading volume across asset classes.

1. Beginning with the publication of this December 2024 Monthly Activity Report, Tradeweb has adjusted its methodology for reflecting acquisitions in its reported average daily volume figures. For average daily volume derived from acquisitions, the denominator is now the number of trading days that have elapsed from the acquisition date to the end date of the reporting period, and not the total number of trading days in the reporting period, which was the previous methodology. Beginning in December 2024, this methodology was applied retroactively to restate the impact of both 2024 acquisitions; the average daily volume attributable to acquisitions occurring prior to 2024 was not restated. Please see the “Acq Methodology Change” tab of the Excel historical data available on https://www.tradeweb.com/newsroom/monthly-activity-reports/ for a detailed breakdown of the impact of this change in methodology on previously reported amounts.
2. Tradeweb acquired Yieldbroker, r8fin and ICD on August 31, 2023, January 19, 2024 and August 1, 2024, respectively. Total volume reported includes volumes from each acquired business subsequent to the date of the applicable acquisition.
3. See pg. 7 of the report available at https://www.tradeweb.com/newsroom/monthly-activity-reports/ for the detailed breakdown of average variable fees per million dollars of volume traded for each underlying asset class.
4. Based on data from MSRB.

Source: Tradeweb