TradeWeb Posts Record Volumes in Five Fixed-Income Markets
Low Yields and High Volatility Fuel $4.8 Trillion in Online Bond Markets Volume
JERSEY CITY, NJ (July 7, 2003) - TradeWeb, the leader in online fixed-income trading, today announced that during the second quarter of 2003, investors traded over $4.8 trillion in fixed-income securities on its platform, up over 108% from the same period last year and up 28% sequentially from the previous quarter. This extraordinary growth was driven by several factors, including an overall surge in fixed-income trading activity due to favorable market conditions and growing use of online trading by institutional bond investors.
"Our recent results prove that TradeWeb has become the leading source of online liquidity, market data and STP services for fixed-income investors," said Jim Toffey, CEO. "These record volumes reflect the trust and confidence that market professionals have in TradeWeb's online auction model to get their business done."
New volume records were posted in TradeWeb's five largest online fixed-income markets:
TBA-MBS: In the 2nd quarter, more than $1.4 trillion in TBA-MBS was traded - a 350% increase over the volume for the same period last year and a quarterly record. In the month of June, $580 billion in volume was transacted on the platform - the highest month on record.
Commercial Paper: During the 2nd quarter, investors traded more than $1.3 trillion of commercial paper through TradeWeb, up from just over $736 billion for the same period last year - a 76% increase (despite a declining CP issuance) and a quarterly record. For the month of June, CP volume was $482 billion - the highest month on record.
Agency Discount Notes: ADN volume for the 2nd quarter reached $214 billion - a quarterly record, culminating with $84 billion in the month of June alone. June's volume was the highest on record and represented a 950% over June 2002, the month of the initial launch for the ADN product.
U.S. Treasuries: Investors traded $1.5 trillion in U.S. Treasury securities with dealers over TradeWeb during the 2nd quarter, a 50% increase over the same period last year. The record quarter was capped by volume of $540 billion for the month of June - the highest month on record.
Euro Sovereigns: Trading volume in Euro Sovereigns surpassed €258 billion for the 2nd quarter, up 78% from the same period last year - and a quarterly record. In the month of June, volume reached €93 billion - a monthly record.
TradeWeb is the leading online fixed-income trading network with more than 3.7 million trades executed and total volume reaching nearly $28 trillion since its inception in 1998. TradeWeb's multi-dealer auction model links 22 of the world's leading dealers of fixed-income securities with more than 1,400 buy-side institutions in North America and Europe.
The company is also a leader in electronic "straight-through processing" of fixed-income trades, providing dealers and buy-side institutions with paperless trade allocations and confirmations on its fully integrated TradeXpress network.
For more information about TradeWeb products and services, please visit the company's website at www.tradeweb.com