A massive modernisation of the bond market is being recognised at the Fixed Income Leaders’ Summit in Barcelona. Although the event was largely held under the Chatham House Rule, it was clear that the evolution of new trading protocols including algorithmic trading, portfolio trading, and the electronification of established protocols of trading is expected to…
On 9 October 2023 the UK’s rules on the trading venue perimeter – drawing a line between desktop technology and regulated trading venues – will come into effect. With electronification of trades continuing to increase in many parts of the credit and rates markets, traders value the support that their front office technology – be…
The fires of summer are being replaced by the floods of autumn, but in the bond markets a gentler and more positive outcome is being see to the change in seasons. Looking at data from MarketAxess Trax, which tracks activity across multiple fixed income markets and sources, we can see that trading volumes appear to…
Research of 300 post-trade experts including custodians and brokers shows that legacy technology and regulation prevent financial institutions from capturing growth opportunities. A third of post-trade firms are operating with legacy platforms more than a decade old, with budgets being dominated by maintenance and upgrades over investments in replacements and transitions, new research has found….
Newly launched AI-driven smart order routing and bid-ask liquidity tiering tools developed by Overbond allow fixed income traders to optimize execution and fully automate more trades. TORONTO and LONDON, Sept. 19, 2023 /CNW/ – Following its bid-ask liquidity scoring model’s recent launch, Overbond launched its smart order routing (SOR) system today. These AI-driven tools are critical for achieving no-touch…
The DESK asked buy-side desks about the best ways their counterparts on the sell side support them. Juniorisation of the sales and trading function at investment banks is a real concern, meaning that the experienced sell-side traders are being replaced by younger team members who either lack the relationships needed to help clients get the…
Last year, 62% of European investment-grade corporate bond trading volume was executed electronically, as with 49% of notional high-yield volume; compared to 40% and 31% in the US, respectively. New research from Coalition Greenwich has found that 62% of European investment-grade corporate bond trading volume was executed electronically last year – making Europe the most…
Some of the biggest bond managers are sticking to their bullish view on the market for US government debt, even as that trade looks riskier by the day. Brandywine Global Investment Management, Columbia Threadneedle Investments and Vanguard Group Inc. are keeping the faith that a rousing fixed-income rally is coming, a stance that is being sorely tested…
While strong US economic and inflation statistics fuelled anticipation for more rate rises, investors withdrew almost record amounts from corporate bond exchange traded funds in February. BlackRock data shows that investment-grade and high-yield corporate bond ETFs saw a combined net outflow of $8.3 billion in February. This is the second-largest outflow on record, only surpassed…
Junior debt issued by banks is normally one of the riskiest types of fixed-income in the US and Europe. It’s typically not backed by collateral and in the event of a crisis it only gets paid back after other bonds. But in a world of soaring inflation and interest rates, it has a feature that…
With trading volumes for US corporate bonds up
