A look at institutional fixed-income investing

When it comes to handling institutional fixed-income trade volume, RBC Capital Markets is leading the way, says Greenwich Associates in a recent report.

Greenwich interviewed more than 100 institutional investors to find out which banks they work with, as well as how they rate banks’ services.

It found RBC Capital Markets serves 16.7% of those investors, followed by TD Securities (13.2%), Scotiabank (12.3%), BMO Capital Markets (11.4%) and Desjardins Capital Markets (9%).

RBC’s consistently led the pack over the past several years (the bank held 14.7% market share in 2012 and 17.5% in 2013), but other banks haven’t been so lucky. CIBC, for example, was used by 7.6% of investors in 2012 and 8.6% in 2013, but it’s now off the top-five list. Same goes for National Bank Financial, which served 7.4% of those polled in 2013.

The 2014 report also says, “Total fixed-income trading volume (including interest rate derivatives and structured credit derivatives, and excluding money markets) decreased by approximately 7% in the past year.” As well, more investors are using electronic trading platforms. Read more.

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