EU-Bonds’ secondary market: 2024 marks large increase in total turnover and market deepening

According to data obtained from EU Primary Dealers (PDs) covering the year end-2024, the total annual turnover of EU-Bonds exceeded €1 trillion mark for the first time. This is 65% higher than in 2023. This move reflects not only the increased amounts of outstanding EU-Bonds (€578 billion at end 2024 versus €443 billion at end 2023) but also their deepening liquidity, demonstrated by the increased frequency of trading of these outstanding amounts.  Specifically, in H2 2024 the average monthly turnover of outstanding EU-Bonds increased by 50% compared to the same period in the previous year (from 16% in H2 2023 to 24% H2 2024).

At the same time the improved price transparency combined with tradeable quotes from EU PDs on interdealer electronic platforms, has encouraged market participants to increase their trading of EU-Bonds on electronic platforms. Based on data from EU PDs, 70% of the 2024 trading volumes of EU-Bonds involved an electronic platform, relative to 56% in 2023.

These moves are cementing the market treatment of EU-Bonds as a highly liquid and transparently priced security, sharing many of the key typical attributes of liquid core sovereign bonds.