By Flora McFarlane.
Trumid has announced trading volumes of US$2 billion in January 2018, more than doubling 2017 figures, with daily averages of over US$100mm and market share reaching 100% in certain bonds.
In addition to the significant increases in trading volume – up 118% year on year 2017 – the fintech firm reports that electronic trading in January has been one of the busiest in years.
“We are seeing users engaged and comfortable with our technology and protocols, in addition to a positive trend in trading volumes,” said a Trumid spokesperson.
The New York-headquartered firm, which received a US$10 million investment from Deutsche Boerse this year and has attracted investment from Peter Thiel and George Soros, reports capturing a 1% high yield market share overall.
The bond-trading fintech firm, founded in 2014, has made significant strides into the $US8.4 trillion US corporate bond market, where automation and electronification is taking time to develop; according to Aite Group research, 75-80% of corporate bond volume continues to be traded by voice.
As more technology enters the market, firms such as Trumid are expected to build on their market share, and Trumid’s early 2018 results are an indication of the future fixed income trading landscape.