The July data for the Tradeweb Markets institutional European and US-listed ETF platforms reveals that in Europe, total traded volume on the Tradeweb European-listed ETF marketplace reached EUR77.5 billion in July, an increase of approximately 29 per cent year-over-year.
Transactions completed via Tradeweb’s Automated Intelligent Execution (AiEX) tool represented a record 96 per cent of tickets and accounted for 32 per cent of notional volume on the platform.
Adam Gould, Global Head of Equities at Tradeweb, says: “Clients are increasingly using a broader range of electronic workflows to execute ETF trades. Alongside continued adoption of AiEX, we are seeing growing use of NAV and Market-on-Close functionality, as institutions look to access liquidity and execute efficiently around benchmark pricing.”
Volume breakdown
Equity ETFs captured 75 per cent of the total platform flow in July, six percentage points above the previous 12-month rolling average. Fixed income products accounted for 20 per cent of activity, while commodities comprised the remaining 5 per cent.
All three asset classes saw net buying during the month. ‘Buys’ exceeded ‘sells’ by 16 percentage points in both equity and fixed income ETFs, while commodity products saw ‘buys’ outpace ‘sells’ by 14 percentage points.
Global Equities was the most heavily-traded category in July, generating EUR 17.5 billion in notional volume and narrowly surpassing North America Equities at EUR 16.9 billion.
Emerging Markets, Equities, Europe Equities and Government Bonds completed the top five.
The top 10 by traded notional volume
Shares-based products dominated July’s top 10, with the iShares Core EURO STOXX 50 UCITS ETF holding on to the top spot for the second consecutive month. Ranked sixth, the Invesco Physical Gold ETC was the only non-equity product to feature in the list.
In the US, the total consolidated US ETF notional value traded in July reached USD90.6 billion, up 45 per cent year-over-year. The proportion of AiEX transactions and notional volume amounted to 58 per cent and 17 per cent, respectively.
Adam Gould, Global Head of Equities at Tradeweb, says: “ETF trading activity remained strong in July despite the typical summer slowdown, reflecting continued institutional engagement across the market. The breadth of activity across equity and fixed income products demonstrates how ETFs continue to play an important role in portfolio implementation and risk management.”
Volume breakdown
As a percentage of total notional value, equities accounted for 66 per cent and fixed income for 27 per cent, with the remainder comprising commodity and specialty ETFs.
