Overbond offers industry-wide access to new COBI Swap Pricing calculator. Proprietary technology caters to surge in cross-border bond issuance
TORONTO and NEW YORK — May 8, 2017 — Overbond Ltd., the first end-to-end Capital Markets fintech platform for primary bond origination, has unveiled its new Corporate Bond Intelligence Tool (COBI) Swap Pricing calculator with advanced analytics and visualisation. The digital tool helps treasurers more effectively evaluate funding costs in multiple currencies and markets simultaneously.
Overbond’s COBI Swap, powered by Thomson Reuters data, is the first institutional-grade swap calculator that is offered industry-wide to fixed income capital markets participants on a non-subscription basis.
The proprietary tool has been developed in response to the 40 percent surge in Canadian corporations issuing bonds offshore in the U.S. and Europe, equating to $157 billion in 2016 alone, and then swapping back into Canadian dollars – a trend examined in Overbond’s new “Cross-Border Bond Issuance Dynamics” study.
The COBI Swap enables corporate treasurers to better navigate structural changes in the fixed income market, access offshore bond markets, and achieve lower funding costs, along with natural hedge capabilities and funding diversification.
“Timely and accurate swap pricing is an essential tool that enables treasurers to more opportunistically access international markets to meet their debt funding requirements,” said Vuk Magdelinic, CEO of Overbond. “This app is a continuation of our fresh, innovative, and transparent approach to providing bond market participants with a diverse offering of critical capabilities and insights. We are pleased to offer this new technology industry-wide as an open platform, accessible on a non-subscription basis.”
Advanced features include real-time swapped equivalent rates for prospective new issues, instantaneous computation of CAD and USD single currency interest rate and cross-currency swap rates, and interactive swap curve visualisation for seamless comparison of implied funding costs against different benchmarks and in multiple markets. Overbond’s COBI Swap is unique in enabling a user to price up to five swaps in different tenors and rate types simultaneously.The app also provides the facility to download and export reports.
At launch the COBI swap pricer calculates USD/CAD swaps and will be expanded within weeks to include USD/EUR, a feature which will significantly benefit U.S. corporations.
View and download the “Cross-Border Bond Issuance Dynamics” study.
Founded in 2015, Overbond is rapidly transforming how global investment banks, institutional investors, corporations and governments connect and access the primary fixed income market. Overbond’s fully-digital platform for primary bond issuance eliminates inefficiencies, provides higher transparency, optimal price discovery, and investor diversification for all counterparties in the primary bond market.
The company’s growing client base includes investment-grade corporate issuers that are looking to better manage their large borrowing programs, some of which include $20 billion in outstanding bonds. The Overbond network has now reached over 100 active institutional investor and large corporate issuer users, and is expected to double in the next quarter.
Overbond is headquartered in Toronto with operations in New York. For more information, please visit https://www.overbond.com
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