ICMA publishes white paper examining current practices and challenges in the electronic distribution of bond market axes across Europe
16 December 2025 ICMA and the FIX Trading Community have published a new white paper examining current practices and challenges in the electronic distribution of bond market axes across Europe. The paper explores how axes, a long-standing feature of bilateral dealer to client interaction in risk-intermediated bond markets, are being adapted to electronic trading environments and the implications for both liquidity provision and best execution.
Drawing on the work of ICMA’s Electronic Trading Working Group and the FIX Fixed Income Axe Standards Working Group, the report provides a detailed account of how axe dissemination has evolved, the inconsistencies that have emerged, and the operational pressures arising from automation. It highlights several issues raised by market participants, including the reliability of axe information, divergent interpretations of what constitutes a genuine axe, the prevalence of two-way and algorithmic axes, and the growing impact of smart request-for-quote routing on dealer behaviour.
The paper also examines the challenges around information leakage. Both buy-side and sell-side contributors emphasise that the risk of sensitive position data being disseminated too widely, or repurposed without consent, limits the willingness of firms to share axes electronically. The report considers how tighter controls, clearer data fields and more robust connectivity could support market efficiency while preserving necessary confidentiality.
While the white paper does not set out recommended best practices, it provides a clearer articulation of the challenges facing the industry and is intended to support further discussion on how to improve the integrity, usefulness and safety of axe data in modern electronic trading environments.
It marks the first step in a joint ICMA FIX workstream aimed at supporting more reliable and effective pre-trade transparency in bond markets.
