Trading Venues

Barclays buys stake in online trading marketplace

Barclays Capital, the investment banking division of Barclays Bank, has taken a minority stake in Tradeweb, a provider of online electronic trading marketplaces for fixed income, derivatives and equities.

Barclays has become the 11th dealer on Tradeweb’s markets to buy a stake in the company. Fellow broker Citi purchased a stake in the firm in April. More than 35 dealers provide liquidity to Tradeweb’s online fixed income and derivatives markets.

In connection with the transaction, Tradeweb’s existing owners, which comprise data vendor Thomson Reuters (the majority shareholder) and the dealer-owners, will invest an additional $68 million in Tradeweb.

According to Tradeweb, Barclays’ investment reflects the continued expansion of its business since January 2008, when Thomson Reuters and the then nine dealer-owners completed a capital restructuring of the firm.

“Partnering with Tradeweb underscores the firm’s commitment to delivering best-in-class service, liquidity and reliability in the electronic trading space to our clients,” said Harry Harrison, head of rates at Barclays Capital, in a statement. “Our stake in Tradeweb also complements our strategy for improving market efficiency and transparency alongside our market-leading electronic trading platform, BARX.”

Tradeweb provides fixed income, derivatives and equities services to clients in more than 50 countries. Since 1998 the firm has operated a global fixed income and derivatives trading network. For equities, Tradeweb offers the AutEx indications of interest dissemination service and the Tradeweb Routing Network, a global FIX network with more than 8,000 connections to over 1,000 firms.