Global equity volumes decline in 1Q25 as volatility clouds outlook
- Editor
- Mar 26
- 2 min read
Whats Happening:
Global equity volumes are declining, indicating challenging times ahead amid escalating trade war volatility. According to Dealogic's ECM Highlights 1Q25 report, equity issuance reached USD 160.4 billion, down 7.7% compared to 1Q24 and 27.9% from 4Q24. The number of deals as of March 24 was 1,269, down 22% from 1,635 deals in 1Q24. While several large transactions saved issuance figures from a poor quarter, the fall in deal activity indicates a more risk-averse market.
Key Moves:
Global equity issuance fell to USD 160.4 billion in 1Q25
Number of deals decreased by 22% to 1,269 compared to 1Q24
US IPO volumes up 23.8% YoY, but market sentiment hurt by recent listings
By The Numbers:
Global equity issuance: USD 160.4 billion, down 7.7% YoY and 27.9% QoQ
Number of deals: 1,269, down 22% from 1,635 in 1Q24
IPO volumes: USD 27.7 billion, up 15.9% YoY
Key Quotes:
"The beginning of the year was filled with optimism and talks of animal spirits lifting equities and equity capital markets to new highs. This talk has stopped." - Samuel Kerr, Head of ECM at Mergermarket
"The only animal spirits affecting markets now are bearish, as trade hostility between the US and other major trading nations intensifies."
"Deals will still get done, but investor capacity for risk has been diminished."
Bottom Line:
Global equity volumes are declining as market volatility increases due to escalating trade tensions. While IPO volumes grew, recent US market corrections and large listing struggles are dampening sentiment. European secondary sell-downs saw growth, but overall deal activity is down significantly. The outlook for ECM deals in the coming weeks and months remains uncertain, with investor risk appetite diminished.
Comments