< The 2016 Tech 50

21
Richard McVey
Chairman and Chief Executive Officer
MarketAxess Holdings
Last year: 22

Fixed-income trading platform operator MarketAxess Holdings, which went public in 2004, set records in this year’s first quarter for revenue ($88.6 million) and pretax income ($44.4 million), both up 15 percent from the 2015 period. Total trading volume was 27 percent higher, at $310 billion, and the company’s market capitalization now exceeds $5 billion. Chairman and CEO Richard McVey, who has led the 357-employee company since it emerged from J.P. Morgan & Co.’s LabMorgan incubator in 2000, attributes recent successes to volume and market-share growth. New York–based MarketAxess’s share of reported U.S. high-grade corporate-bond trading was 14.9 percent in the first quarter, compared with 13.7 percent a year earlier. And a risk taken in 2012 on Open Trading protocols is paying off handsomely. In contrast to the dealer-to-client model, Open Trading brings dealers, asset managers, hedge funds and others together in a single all-to-all liquidity pool. With banks in the postcrisis years pulling back from traditional market making, Open Trading has attracted investors and money managers looking for liquidity solutions. “In a more fragmented credit market, we’re helping our participants electronically find trade matches,” says McVey, 56. “If we’re consistently delivering better prices on lots of orders and those are prices they can’t get anywhere else, then the buy side has to put more orders in.” First-quarter Open Trading volume more than doubled year-over-year, to $37 billion, from $17 billion. In Europe, where Open Trading was introduced in January 2015, clients traded $4.8 billion in European and U.S. credit products in the first quarter, 73 percent more than in the fourth quarter of 2015. With more than 1,000 market participants connected to MarketAxess and 600-plus buy-side firms using three or more products, “network effect” momentum is building, McVey says: Total bond volume through 2015 has grown at a 19 percent compound annual rate, with emerging markets at 27 percent and high yield at 49 percent. The company has launched client-to-dealer trading and Open Trading for municipal bonds, with 200 investment firms and 65 dealers. “We think this is a growing trend where both dealers and investors need a new model,” McVey says. “We’ve never invested more, and our investment budget is wildly high. We have an opportunity and responsibility to clients to invest back into the business.”

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The 2016 Tech 50

1. Catherine Bessant Bank of America Corp. 2. Jeffrey Sprecher Intercontinental Exchange 3. Lance Uggla Markit Building Resilient Portfolios: Infrastructure’s Strategic Advantage Sponsored by IFM Investors May 9, 2025 4. Phupinder Gill CME Group 5. Shawn Edwards and Vlad Kliatchko Bloomberg 6. R. Martin Chavez Goldman Sachs Group

7. Robert Goldstein BlackRock 8. Adena Friedman Nasdaq 9. Deborah Hopkins Citi Ventures 10. Daniel Coleman KCG Holdings 11. Stephen Neff Fidelity Investments 12. David Craig Thomson Reuters

13. Michael Spencer ICAP 14. Michael Bodson Depository Trust & Clearing Corp. 15. Charles Li Hong Kong Exchanges and Clearing 16. Chris Concannon BATS Global Markets 17. Blythe Masters Digital Asset Holdings 18. David Rutter R3CEV

19. Neil Katz D.E. Shaw & Co. 20. Lee Olesky Tradeweb Markets 21. Richard McVey MarketAxess Holdings 22. Seth Merrin Liquidnet Holdings 23. Robert Alexander Capital One Financial Corp. 24. Brad Katsuyama IEX Group

25. Antoine Shagoury State Street Corp. 26. David Gledhill DBS Bank 27. Lou Eccleston TMX Group 28. Andreas Preuss Deutsche BÖrse 29. Dan Schulman PayPal Holdings 30. Scott Dillon Wells Fargo & Co.

31. Mike Chinn S&P Global Market Intelligence 32. Craig Donohue Options Clearing Corp. 33. Gary Norcross Fidelity National Information Services 34. Steven O'Hanlon Numerix 35. Sebastián Ceria Axioma 36. Michael Cooper BT Radianz

37. Tyler Kim MaplesFS 38. Neal Pawar AQR Capital Management 39. David Harding Winton Capital Management 40. Chris Corrado London Stock Exchange Group 41. Brian Conlon First Derivatives 42. Jim Minnick eVestment

43. Stephane Dubois Xignite 44. Mazy Dar OpenFin 45. Yasuki Okai NRI Holdings America 46. Kim Fournais Saxo Bank 47. Jock Percy Perseus 48. Robert Schifellite Broadridge Financial Solutions

49. Brian Sentance Xenomorph Software 50. Pieter van der Does Adyen