MarketAxess saw a 34% surge in trading volumes in 2016 compared to 2015, bringing its new record trading volume total to $1.3 trillion.
The fixed income trading firm also reported record revenues in 2016 of $370 million, up 22% from the year prior.
Chief executive officer, Rick McVey, explained the growth was driven by an acceleration of market share gains across its core products.
“The expansion of our liquidity pool through all-to-all Open Trading is further reducing transaction costs for our clients, fuelling rapid growth in electronic order flow,” he added.
MarketAxess stated its MiFID II implementation is “well underway in advance of January 2018”, as the firm works with clients to integrate new regulatory requirements for trade execution, reporting and transition cost analysis.
In November last year, MarketAxess’ Trax service launched a regulatory rules engine to help firms keep on top of reporting requirements under MiFID II.
The Insight+ tool streamlines processes by managing buy- and sell-side firms’ transaction flow to support exception management.
It provides users with connectivity to transparency and report services, systematic internaliser determination and reference data reporting.
Speaking on the earnings call, McVey explained he expects the new regulatory focus on demonstrating best execution will lead increased demand for electronic trading and data products “to allow market participants to compare transaction prices such as Axess All.”