The current buoyancy of UK equity markets was underlined by data released yesterday by the London Stock Exchange showing a sizable rise in t...

The current buoyancy of UK equity markets was underlined by data released yesterday by the London Stock Exchange showing a sizable rise in trading. LSE said the growth was particularly notable on SETs, its electronic order book. In January, the total value traded on SETS rose 63 per cent year-on-year to a record £117.7 billion ($205.8 billion). LSE said the total value and total number of SETS trades in the month exceeded previous records by 12 and 13 per cent respectively. “January’s record trading figures continue the pattern of accelerated SETS growth,” said Clara Furse, LSE’s chief executive, in a statement. “Our investment in the speed, functionality and capacity of our systems continues to act as a catalyst for the development of new trading strategies, which use the latest technologies.” Across the LSE as a whole, the average daily number of trades was up 36 per cent on last year to 406,231. The average daily value traded was also a record at £27.1 billion, up 40 per cent on January last year. The increase in the average daily value traded in UK equity over the year was 30 per cent, well ahead of the CAGR (compound annual growth rate) of 16 per cent over the last twenty years. Trading in Exchange Traded Funds was up 181 per cent on January 2005, with the total value traded during the month reaching £1.2 billion, an increase of 119 per cent on January last year. Covered warrants trading also continued to show strong growth, with the number of trades during the month up 92 per cent on January last year, and the value traded up 110 per cent to £28.6 million.