Trading activity on the Tradeweb European-listed ETF platform for August was quiet, the firm reports, with a 37 per cent reduction in volumes compared to their July previous record.
The slowdown in activity, driven partially by less volatile markets coupled with the traditional summer lull, resulted in the ETF platform’s quietest month so far this year, Tradweb reports.
“In August we saw a similar number of clients trading as in previous months, however their average trade sizes were significantly reduced” says Adriano Pace, managing director for equity derivatives at Tradeweb.
On a positive note the platform’s trade hit rates held up very well at 91 per cent over the course of the month, indicating that clients were able to efficiently execute despite the quieter environment.
Tradeweb writes that similar to what we saw in July, there was a clear buying trend across all ETF asset classes during the month of August. “Buys” for fixed income ETFs surpassed “sells” by five percentage points and “buys” in equity products outstripped “sells” by 10 percentage points.