For the first time since its launch in April 2001, Liquidnet's available liquidity pool per day topped 1.5 billion shares, a size that rivals national exchanges such as the NYSE, NASDAQ and ArcaEx.

"Liquidnet now has one of the largest buy-side pools of natural liquidity in the world," said Seth Merrin, CEO of Liquidnet. "This can be directly attributed to our continued growth in Liquidnet Membership, which now totals nearly 300 global money managers representing $8.25 trillion in equity assets under management. Liquidnet is now a major execution destination accounting for a larger percentage of the overall block volume every quarter."

Liquidnet's average daily volume for the third quarter set a new record at 33.3 million shares, an increase of 15 percent over the second quarter, 2005, and a 61 percent increase over the same quarter in 2004. The company set a new record of almost 61 million shares this quarter on September 21, 2005. Overall, Liquidnet Members executed more than 2.1 billion shares (U.S. equities) in the second quarter of 2005.

Liquidnet Europe Experiences Explosive Growth in Third Quarter

Liquidnet Europe's principal traded rose 108 percent from the third quarter in 2004 and 28 percent over the second quarter, 2005 to an impressive euro
1.97 billion in principal traded. Liquidnet Europe's growth in principal traded has averaged over 31 percent quarter-over-quarter since its launch in late 2002. The average bargain value per trade for the third quarter was euro 637,537, remaining one of the largest averages in the industry.