Overall US fixed-income trading volumes – including bonds and derivatives – increased by about 25% in the 12 months covered in Greenwich Associates’ 2006 Fixed-Income Investors Study. Over the same period, hedge fund trading volume in the same products more than doubled, according to their report. Greenwich Associates says that hedge funds now generate 45% of annual trading volume in emerging market bonds, 47% of annual volume in distressed debt, about one-third in leveraged loans, and one-quarter high-yield bonds.
US Fixed Income Trading Volumes Up 25%, Says Greenwich Associates
Overall US fixed income trading volumes including bonds and derivatives increased by about 25% in the 12 months covered in Greenwich Associates' 2006 Fixed Income Investors Study. Over the same period, hedge fund trading volume in the same products more