Total trading volume on SEFs averaged $443.5 billion per day during the month of February, which was an 8.6% decrease from the previous month and a 2.7% decrease from February 2015. The decrease resulted entirely from a drop in interest rates trading as both the average volume of foreign exchange and credit were up from last month.
Rates
Trading averaged $364.2 billion per day in February, which was down 11.2% from January and 9.5% from a year ago. The main driver was a drop in the volume of forward rate agreements executed through SEFs. FRA trading averaged $173.3 billion in February, down 21.1% from January and 25.8% from a year ago. Taking out FRAs, rates trading actually increased slightly from the previous month and was 13.0% higher than February 2015. In terms of market share, Bloomberg and IGDL each captured about 16.7% of the non-FRA market in February, closely followed by Tradeweb with 15.0%.
Credit
Trading averaged $40.4 billion per day in February, up 8.9% from January and a very strong increase of 90.7% from last year. Bloomberg captured 80% of all credit default swap trading on SEFs in February, which is its highest market share since the FIA began tracking SEF volume data, followed by Tradeweb with 10% and Tullett Prebon with 2.9%.
FX
Trading averaged $39.0 billion per day in February, a slight increase of 1.9% from the previous month and an increase of 21.2% from a year ago. Average daily trading in non-deliverable forwards was $21.5 billion, and options trading was $16.9 billion, both roughly similar to the previous month’s average. In terms of market share, BGC led the way with 26.2%, followed by ICAP with 19.0% and Tradition with 17.4%.
