MarketAxess Conference Summary Company Overview - **Company**: MarketAxess (NasdaqGS:MKTX) - **Industry**: Electronic trading platform specializing in credit markets - **Date of Conference**: December 09, 2025 Key Points and Arguments MarketAxess Advantages - MarketAxess has a significant global network with over 2,100 institutional investors and dealers, and 13,000 active traders, having added 250 active traders in 2025 [4][5] - The company boasts a differentiated liquidity model with over 1,000 unique liquidity providers, including ETF market makers and large institutional investors [5] - Data competitive advantage includes pre-trade analytics and trading data powered by AI, with $8.9 trillion of inquiries in 2025, a 14% increase from 2024 [6][7] Financial Targets and Shareholder Returns - MarketAxess announced a commitment to an average annual revenue growth rate of 8-9% and an average annual margin expansion of 75-125 basis points from 2026 to 2028 [10][11] - The company increased its share repurchase plan to $505 million, with $300 million allocated for accelerated share repurchase [11] Growth in Non-U.S. and U.S. Credit Businesses - 50% of top-line revenue is growing at a 15% CAGR, with emerging markets and Eurobonds contributing significantly [12][13] - The U.S. credit business faced challenges from macroeconomic factors and underinvestment, but plans are in place to reignite growth [8][21] Innovations and New Products - The recently launched Closing Auction protocol aims to cater to the growing indexation of the fixed-income market, with expectations of significant liquidity at the close of trading [18][19] - The auction solution was developed with input from major buy-side investors, indicating strong interest and potential for future growth [38][39] Competitive Landscape - MarketAxess is focused on maintaining competitive pricing in portfolio trading and dealer-to-dealer spaces, with stable fees and a strategic approach to global protocols [32][34] - The company is confident in sustaining revenue growth in emerging markets despite increased competition, due to prior investments in portfolio trading and dealer-to-dealer solutions [30][31] Data Revenue and Market Dynamics - Data revenue is expected to grow as it powers trading solutions, with a focus on making products more attractive and sticky for clients [23][24] - The company is strategically pricing data products to ensure broad distribution while maintaining value [22] Operational Efficiency - MarketAxess has made strides in productivity and efficiency, with a focus on streamlining workflows and leveraging AI for coding and testing [26][27] - The company aims to control expense growth while pursuing top-line revenue increases [28] Additional Important Insights - The company is in a multi-year investment phase for the Closing Auction product, with broader rollout planned for Q1 2026 [39] - Feedback from the buy-side indicates a strong desire for liquidity at the close, which the auction aims to provide [42] This summary encapsulates the key insights from the MarketAxess conference, highlighting the company's strategic advantages, financial targets, growth initiatives, and innovations in the electronic trading space.

Core Viewpoint - The rapid development of bond ETFs in China is driven by a combination of declining market interest rates, regulatory support, and the need for diversified investment options in a complex bond market [1][2][3] Group 1: Market Overview - As of June 2023, the scale of bond ETFs reached 350 billion yuan, nearly doubling from early 2022, indicating a significant growth rate compared to stock ETFs [1] - The Chinese bond market has a total outstanding size exceeding 188 trillion yuan, with nearly 9,000 bonds listed on the Shanghai Stock Exchange alone, contributing to a diverse investment landscape [1] Group 2: Factors Driving Growth - The decline in market interest rates, with one-year deposit rates falling below 1%, has led investors to seek better returns in the bond market, despite a similar decline in bond yields [1][2] - The emergence of bond ETFs addresses the challenges faced by investors in selecting individual bonds, providing a clear investment direction and convenient liquidity [2] - Regulatory improvements, including faster ETF approvals and the development of the Bond Connect program, have enhanced market liquidity and facilitated the expansion of bond ETFs [2] Group 3: Future Potential - Despite the rapid growth, bond ETFs currently represent only 1.9% of the overall bond market, indicating substantial room for further development [3] - The ongoing evolution towards indexation and institutionalization in the investment market highlights the need for qualified management and quality financial products to meet investor demands [3]