The final month of 2012 marked a five-year low for European equity trading, but gains were experienced by the region’s domestic stock exchanges, which managed to claw back market share from alternative venues during the last year.
In December 2012, European equities trading hit €485.4 billion, down from the €604 billion traded in November 2012, and lower December 2011’s figure of €586.4 billion, according to data from Thomson Reuters Market Share Reporter.
Last month’s figures replace the previous low recorded in December 2008 – just months after the September collapse of Lehman Brothers – when European equity trading volumes slumped to €520.3 billion.
Overall trading on Europe’s largest multilateral trading facilities (MTFs) – BATS Chi-X Europe, London Stock Exchange-owned Turquoise and Nordic-focused Burgundy – declined year-on-year to finish 2012 with 27.35% market share, down from 29.62% in December 2011.
BATS Chi-X Europe’s CXE order book – the new name for Chi-X Europe following BATS Global Market’s purchase of the MTF last year – remained the largest venue, despite a decline in market share to 17.5%, from 19.9% a year earlier.
Last year also saw the continued increase of dark trading as a proportion of overall figures. Activity on dark MTFs reached €21.08 billion, or 4.34% of overall volume, in December 2012, compared to €19.68 billion, or 3.35%, the previous year.
UBS MTF retained its position as the leading non-displayed trading venue, accounting for 20.8% dark market share, followed by CXE Dark, which has 18.9% of the market.