Liquidnet saw “record” trading volumes through its New Issue Trading (NIT) protocol, reaching US$3.5 billion, more than double the previous quarter.
The firm also saw the number of users trading fixed income primary markets electronically in Q1 2024 reach more than 250 active users in Q1 2024.
Liquidnet reported strong coverage of the new issues market on its primary data dashboard, capturing on average 85% of all estimated EMEA issuance. In March alone, Liquidnet added 165 primary market deals to the platform, consisting of 207 bonds of which, 94% received live prices.
On how these figures assuage concerns around UK and European liquidity in primary markets, Nichola Hunter, global head of fixed income sales and trading at Liquidnet, told The DESK, “The Liquidnet new issues order book sits alongside historical channels – a bilateral voice driven market. This new order book augments the liquidity, thereby improving transparency and creating a healthier and more active market accessible to all.”
David Everson, head of fixed income trading EMEA, Liquidnet, said, “This quarter we’ve exceeded numerous previous highs, most notably surpassing 2023’s trading volume by mid-March. In addition to record issuance, the combination of greater adoption by institutional buy and sell-side firms and increased activity in government bonds — increasing average trade size by 35% — have all contributed to this fantastic milestone”.
In the last month of Q1 2024, government bonds were the most actively traded sector comprising 34% of total volume with an average trade size of $0.9M, closely followed by financials, comprising 33% of total volume with an average trade size of $0.5M.
©Markets Media Europe 2024
