TMX Group (X) investor relations material

Macroeconomic and market environment

• Elevated volumes in marketplaces driven by global uncertainty and interest rate outlook, with open interest on the Montreal Exchange up 60% year to date and equity volumes up 14% year over year.

• New product launches and innovations, as well as the sunsetting of some market making programs, have contributed to performance beyond macroeconomic factors.

• IPO pipeline is robust and diverse, with over 50% of companies outside Canada and over 50% in innovation sectors; ETF listings are on track to surpass previous records.

Trading and technology initiatives

• Canadian derivatives on the Montreal Exchange show strong growth, with two-year and five-year contracts growing at 27% and 30% respectively, outpacing the ten-year contract.

• US ATS launched in January, leveraging in-house technology, has seen compounded monthly growth and is now being considered for repatriation to upgrade Canadian matching engines.

• Post-trade modernization project completed, enabling new products like SGC Notes and CCMS, expected to drive meaningful revenue into 2026 and beyond.

Global insights and data businesses

• Trayport continues double-digit growth, driven by client renewals, geographic expansion (notably Japan and the US), and new asset classes like renewables and oil.

• Trayport’s data is proprietary to clients, with AI expected to enhance both client trading strategies and internal software development and testing.

• Vedify acquisition supports custom index creation and ETF launches, with growth tied to AUM and digital distribution; recent acquisitions expand European presence.

• Cross-sell opportunities are increasing between Vedify, Trayport, and Datalinks, with unified leadership driving synergies and early dividends.

• Datalinks growth supported by colocation demand, cross-selling, and US dollar contracts; focus on acquiring and integrating high-quality complementary datasets.