\n| \n % Change<\/b><\/p>\n<\/td>\n | \n \n9%<\/p>\n<\/td>\n | \n \n8%<\/p>\n<\/td>\n | \n \n14%<\/p>\n<\/td>\n | \n \n15%<\/p>\n<\/td>\n | \n \n+140 bps<\/p>\n<\/td>\n | \n \n5%<\/p>\n<\/td>\n | \n \n(240) bps<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Table 1A: 1Q23 trading volume (ADV)<\/b><\/p>\n\n\n | \n | \n | \nCREDIT<\/b><\/td>\n | | \nRATES<\/b><\/td>\n | | <\/tr>\n \n$ in millions
(unaudited)<\/td>\n | US\/UK Trading
Days7<\/sup><\/b><\/td>\nTotal
ADV<\/b><\/td>\n | Total
Credit<\/b><\/td>\n | High-Grade<\/b><\/td>\n | High-Yield<\/b><\/td>\n | Emerging
Markets<\/b><\/td>\n | Eurobonds<\/b><\/td>\n | Municipal Bonds<\/b><\/td>\n | Total
Rates<\/b><\/td>\n | US Govt.
Bonds<\/b><\/td>\n | Agcy.\/Other
Govt. Bonds<\/b><\/td>\n<\/tr>\n\n| \n 1Q23<\/b><\/p>\n<\/td>\n | \n \n62\/64<\/p>\n<\/td>\n | \n \n$38,202<\/p>\n<\/td>\n | \n \n$13,721<\/p>\n<\/td>\n | \n \n$6,334<\/p>\n<\/td>\n | \n \n$1,982<\/p>\n<\/td>\n | \n \n$3,094<\/p>\n<\/td>\n | \n \n$1,849<\/p>\n<\/td>\n | \n \n$447<\/p>\n<\/td>\n | \n \n$24,481<\/p>\n<\/td>\n | \n \n$24,053<\/p>\n<\/td>\n | \n \n$428<\/p>\n<\/td>\n<\/tr>\n | \n| \n 1Q22<\/b><\/p>\n<\/td>\n | \n \n62\/63<\/p>\n<\/td>\n | \n \n$37,504<\/p>\n<\/td>\n | \n \n$12,005<\/p>\n<\/td>\n | \n \n$5,518<\/p>\n<\/td>\n | \n \n$1,626<\/p>\n<\/td>\n | \n \n$3,060<\/p>\n<\/td>\n | \n \n$1,493<\/p>\n<\/td>\n | \n \n$288<\/p>\n<\/td>\n | \n \n$25,499<\/p>\n<\/td>\n | \n \n$25,076<\/p>\n<\/td>\n | \n \n$423<\/p>\n<\/td>\n<\/tr>\n | \n| \n % Change<\/b><\/p>\n<\/td>\n | \n \n\u00a0<\/p>\n<\/td>\n | \n \n2%<\/p>\n<\/td>\n | \n \n14%<\/p>\n<\/td>\n | \n \n15%<\/p>\n<\/td>\n | \n \n22%<\/p>\n<\/td>\n | \n \n1%<\/p>\n<\/td>\n | \n \n24%<\/p>\n<\/td>\n | \n \n55%<\/p>\n<\/td>\n | \n \n(4%)<\/p>\n<\/td>\n | \n \n(4%)<\/p>\n<\/td>\n | \n \n1%<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Table 1B: 1Q23 estimated market share<\/b><\/p>\n\n\n | \nCREDIT<\/b><\/td>\n | RATES<\/b><\/td>\n<\/tr>\n\n| \n (unaudited)<\/p>\n<\/td>\n | \n High-Grade<\/b><\/p>\n<\/td>\n | \n High-Yield<\/b><\/p>\n<\/td>\n | \n High-Grade\/High-
\n
Yield Combined<\/b><\/p>\n<\/td>\n | \n Eurobonds<\/b><\/p>\n<\/td>\n | \n Composite
\n
Corporate Bond1<\/sup><\/b><\/p>\n<\/td>\n\n Municipals<\/b><\/p>\n<\/td>\n | \n US Govt.
\n
Bonds<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n 1Q23<\/b><\/p>\n<\/td>\n | \n \n19.9%<\/p>\n<\/td>\n | \n \n18.3%<\/p>\n<\/td>\n | \n \n19.5%<\/p>\n<\/td>\n | \n \n16.0%<\/p>\n<\/td>\n | \n \n19.1%<\/p>\n<\/td>\n | \n \n6.4%<\/p>\n<\/td>\n | \n \n3.5%<\/p>\n<\/td>\n<\/tr>\n | \n| \n 1Q22<\/b><\/p>\n<\/td>\n | \n \n20.7%<\/p>\n<\/td>\n | \n \n15.2%<\/p>\n<\/td>\n | \n \n19.1%<\/p>\n<\/td>\n | \n \n12.2%<\/p>\n<\/td>\n | \n \n18.1%<\/p>\n<\/td>\n | \n \n4.3%<\/p>\n<\/td>\n | \n \n3.6%<\/p>\n<\/td>\n<\/tr>\n | \n| \n Bps Change<\/b><\/p>\n<\/td>\n | \n (80) bps<\/i><\/p>\n<\/td>\n | \n +310 bps<\/i><\/p>\n<\/td>\n | \n +40 bps<\/i><\/p>\n<\/td>\n | \n +380 bps<\/i><\/p>\n<\/td>\n | \n +100 bps<\/i><\/p>\n<\/td>\n | \n +210 bps<\/i><\/p>\n<\/td>\n | \n (10) bps<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n 1Q23 overview of results<\/b><\/p>\n Revenues and trading volume<\/b><\/p>\n Credit<\/i><\/b><\/p>\n\n- Record<\/b> total credit commission revenue of $175.7<\/b>million<\/b> (including $34.7<\/b>million<\/b> in fixed-distribution fees) increased $15.8<\/b>million<\/b>, or 10%<\/b>, compared to $159.9<\/b>million<\/b> (including $31.2 million<\/b> in fixed-distribution fees) in the prior year. The increase in total credit commission revenue was driven principally by higher trading volumes, strong estimated market share gains across most credit products and a $3.5 million<\/b>, or 11%<\/b>,increase in total credit fixed distribution fees, partially offset by lower average FPM. The increase in total credit fixed distribution fees was driven principally by new dealers on fixed fee plans and upgrades of dealers on existing fixed fee plans. The decline in average FPM for total credit to $164.98<\/b> from $172.54<\/b> in the first quarter of 2022 was mainly due to the lower duration of bonds traded in U.S. high-grade, driven principally by higher bond yields, as well as product mix-shift in other credit products.\n
\n- Record<\/b>$13.7 billion<\/b> in total credit ADV, up 14%<\/b>, with total trade count up 26%<\/b>.\n<\/li>\n
- Record <\/b>U.S. high-grade Open Trading<\/b> share5<\/sup> of 34% (+350 bps)<\/b> on a 15%<\/b> increase in U.S. high-grade ADV to $6.3<\/b>billion<\/b> with estimated market share of 19.9%<\/b>.\n<\/li>\n
- 22% <\/b>increase inU.S. high-yield ADV to a record $2.0 billion<\/b> withestimated market share of 18.3% (+310 bps)<\/b>, up from 15.2%<\/b>.\n<\/li>\n
- Record <\/b>emerging markets ADV of $3.1<\/b>billion<\/b>, up 1%<\/b>;MarketAxess estimated emerging markets TraX and FINRA TRACE-reportable emerging market ADV down a combined 21%<\/b>.3 <\/sup>Record<\/b> local markets ADV of $1.1 billion<\/b>, up 10%<\/b>.\n<\/li>\n
- 24% <\/b>increase in Eurobonds ADVto a record $1.8 billion<\/b> with 16.0%<\/b>(+380 bps)<\/b> estimated market share, up from 12.2%<\/b>.2<\/sup>Eurobonds ADVupapproximately 31% <\/b>excluding the impact of foreign currency fluctuations.\n<\/li>\n
- 55% <\/b>increase in municipal bond ADV to $447 million<\/b>,with record <\/b>estimated market share of 6.4% (+210 bps)<\/b>.\n<\/li>\n
- Record Open Trading<\/b> ADV of $4.5 billion<\/b>, up 21%<\/b>, with total trade count up 27%<\/b>.\n<\/li>\n
- \nTotal credit Open Trading<\/b> share5<\/sup> of 37% (+210 bps)<\/b>, up from 35%<\/b>. Estimated price improvement6<\/sup><\/b> via Open Trading<\/b> was approximately $252<\/b>million<\/b>, and average estimated price improvement per million<\/b> was $902<\/b>.<\/p>\n<\/li>\n
- Record $31<\/b>billion<\/b> in portfolio trading volume, up 125%<\/b> from $14<\/b>billion<\/b> in 1Q22. Estimated U.S. high-grade and U.S. high-yield portfolio trading market volume increased 13%<\/b> and represented approximately 5%<\/b> of the market in first quarter 2023, in line with first quarter 2022 levels.\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n
Rates<\/i><\/b><\/p>\n\n- \nTotal rates commission revenue of $6.3<\/b>million<\/b> increased 1%<\/b> compared to the prior year. The 5%<\/b> increase in average FPM for total rates products to $4.12<\/b>, compared to $3.92<\/b> in the first quarter of 2022, was mostly offset by a 4% <\/b>decrease inU.S. government bondsADV to $24.1 billion<\/b>.<\/p>\n
\n- 250<\/b> active client firms on the platform, up 72%<\/b> from 145<\/b> in the prior year.\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n
Information services & post-trade services<\/i><\/b><\/p>\n\n- Record<\/b> information services revenue of $11.0<\/b>million<\/b> increased $1.2<\/b>million<\/b>, or 12%<\/b>, compared to the prior year. The increase in revenue was principally driven by new data contract revenue, partially offset by the impact of foreign currency fluctuations. Excluding the impact of foreign currency fluctuations, information services revenue would have increased approximately 18%<\/b>.\n<\/li>\n
- \nPost-trade services revenue of $10.0 million<\/b> increased 1%<\/b> compared to the prior year. The increase in revenue was principally driven by net new contract revenue, mostly offset by the impact of foreign currency fluctuations. Excluding the impact of foreign currency fluctuations, post-trade services revenue would have increased approximately 8%<\/b>.<\/p>\n<\/li>\n<\/ul>\n
Expenses<\/b><\/p>\n\n- \nTotal expenses of $107.8 million<\/b> increased $9.9<\/b>million<\/b>, or 10%<\/b>. The increase in expenses was driven principally by higher employee compensation and benefits as a result of a 12%<\/b> increase in headcount, higher technology and communication expenses due to higher subscription costs and data center hosting expense, higher general and administrative expense and higher marketing expense on an increase in sales related activity. The increase in expenses across most activities was partially offset by a $2.5 million<\/b> decline in professional and consulting fees, driven by lower acquisition-related consulting expenses and other consulting and recruiting fees. Excluding the impact of foreign currency fluctuations, total expenses would have increased approximately 12%<\/b>.<\/p>\n<\/li>\n<\/ul>\n
Non-operating<\/b><\/p>\n\n- Other income (expense): <\/b>Other income was $2.8<\/b>million<\/b>, up from $2.3<\/b>million<\/b> in the prior year. The current quarter included higher interest income of $4.2<\/b>million<\/b>,compared to $59 thousand<\/b> in the prior year, due to rising interest rates. The prior year period benefited from a $1.6<\/b>million <\/b>revaluation gain on a contingent liability and a $1.3<\/b>million<\/b> foreign currency translation gain which was a net benefit of $0.06 per diluted<\/b>
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