The Desk: European bond market structure is likely to diverge further from the US, as a result of the different investment models which are popular in the region, according to Greenwich Associates.
Curatia: A recent Greenwich Associates report found that 26% of corporate bond trading in the US happened electronically in Q3 — an increase of seven percentage points in a six-month span.
Bloomberg: In Europe, the impact has been clear, with brokers’ earnings from equity research falling an estimated 20 percent, or $300 million, according to Greenwich Associates.
eFinancial Careers: As Greenwich Associates data shows, electronic trading among European buy-side fixed income traders has taken off in the past year. “Algos are definitely becoming a bigger part of fixed-income trading…"
Market Media: Richard Johnson said that periodic auctions are considered to be lit trades under MiFID II as the indicative matched size is published prior to execution, but there is limited transparency...
Traders: Greenwich Associates highlighted that specialist houses have not quite been feeling the benefits of these changes and, as a result, the main beneficiaries of the changes has been the larger investment banks.
Market Media: “Despite escalating tensions, our study suggests a possible path forward for the exchanges, with the industry clearly identifying a role for regulators to play,” Brad Tingley.
Traders: The consolidated market data field pulled in over $1.4 billion in revenues, an increase of 17% from two years ago, according to research by Greenwich Associates.
Reuters: Total average daily volumes of EU government bonds traded electronically in the first three quarters of last year rose by 36 percent to $57 billion, according to Greenwich Associates.