MarketAxess extends emerging and frontier markets liquidity to Egypt, Hong Kong and Serbia
18 November 2021 US
Image: photon_photo/stock.adobe.com
MarketAxess, operator of an electronic trading platform for fixed-income securities, has announced that it has added Egypt (EGP), Hong Kong (HKD) and Serbia (RSD) to its Emerging Markets (EM) local markets offering.
Local currency trading, which now includes onshore Chinese debt (CNY), has grown to over US$147 billion year-to-date, up 20 per cent on the same period in the prior year. The number of active participants trading EM debt across the MarketAxess platform also reached a record of over 1,300 firms in the third quarter.
Local markets across Latin America have been particularly active on the MarketAxess platform. With a record US$33.5 billion traded in the first three quarters of 2021, Mexico is the largest emerging market traded on MarketAxess.
Brazil is the second-largest emerging market with US$21.1 billion traded in the same period.
Kevin McPherson, global head of sales at MarketAxess, notes: “Investors are increasing their exposure to emerging markets, including frontier markets, in the face of increased demand for yield, broader index inclusion and easing of pandemic-linked monetary policy. Our volume growth through the first three quarters of this year is testament to that, and to the success of the unique all-to-all EM trading ecosystem that we have built to support them.”
Maria Calderon, head of sales for Latin America, MarketAxess, adds: “MarketAxess has broadened the liquidity pool and helped to improve execution efficiency by delivering a range of protocols and tools designed specifically for how emerging markets debt is traded.
“Request-for-Market (RFM), Switch Trading and now EM Portfolio Trading have all seen rapid and significant adoption across both hard and local currency debt. These and other innovations have helped to deliver unique cost-saving and alpha-generation opportunities for our EM clients.”
Local currency trading, which now includes onshore Chinese debt (CNY), has grown to over US$147 billion year-to-date, up 20 per cent on the same period in the prior year. The number of active participants trading EM debt across the MarketAxess platform also reached a record of over 1,300 firms in the third quarter.
Local markets across Latin America have been particularly active on the MarketAxess platform. With a record US$33.5 billion traded in the first three quarters of 2021, Mexico is the largest emerging market traded on MarketAxess.
Brazil is the second-largest emerging market with US$21.1 billion traded in the same period.
Kevin McPherson, global head of sales at MarketAxess, notes: “Investors are increasing their exposure to emerging markets, including frontier markets, in the face of increased demand for yield, broader index inclusion and easing of pandemic-linked monetary policy. Our volume growth through the first three quarters of this year is testament to that, and to the success of the unique all-to-all EM trading ecosystem that we have built to support them.”
Maria Calderon, head of sales for Latin America, MarketAxess, adds: “MarketAxess has broadened the liquidity pool and helped to improve execution efficiency by delivering a range of protocols and tools designed specifically for how emerging markets debt is traded.
“Request-for-Market (RFM), Switch Trading and now EM Portfolio Trading have all seen rapid and significant adoption across both hard and local currency debt. These and other innovations have helped to deliver unique cost-saving and alpha-generation opportunities for our EM clients.”
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