Amid a slowdown in institutional trading activity, RBC Capital Markets has held on to its position as the leading broker in Canadian equity trading.
Greenwich Associates’ 2013 Canadian Equity Investors Study finds that RBC captured a trading share of 14.1% of institutional trading volume last year.
TD Securities and BMO Capital Markets were next, with shares of 11.3% and 11.7%, respectively. Scotiabank had a 9.4% share, and CIBC came in fifth with a share of 8.9%.
RBC also took the top spot in Canadian equity research and trading by capturing 16.7% of the institutional research vote—the process by which institutions determine what sell-side providers or research and advisory services will be used and compensated.
BMO was second with 13.1%, CIBC came in third at 11.6%, TD was fourth with 11%, and Scotiabank had a 9.4% share.
“With the slowdown in trading activity in Canadian equities causing a 10% contraction in the amount of brokerage commissions paid by intuitions, those leading Canadian firms find themselves in the same situation faced by U.S. brokers for the past several years: fighting for market share as a means of maintaining trading revenues,” says Greenwich Associates consultant Jay Bennett.