Bondcube, the Fixed Income trading platform, is pleased to announce that it has gone live in Europe & the US with full match, negotiation and trading functionality for all to all bond trading.
Bondcube takes indications of interest (IOIs) from both buy-side and sell-side participants. Buy-side to buy-side match anonymously and cross through an intermediary. Buy-side to sell-side trade on a fully disclosed identity basis. All participants can bulk upload their indications of interest, where they indicate a security, direction and minimum and maximum trading size, without the need for a specific price or spread. These IOIs remain anonymous and invisible on the platform, either on an active or historic basis, until a match is found. Only the participants that have the offsetting interest in that security are notified and eligible to begin a negotiation for a trade.
UBS Investment Bank is the global trading intermediary at launch. The FX, Rates and Credit (FRC) Execution Services unit will facilitate the settlement of trades by Bondcube participants by providing intermediation services.
Bondcube Limited is a crossing network regulated by the FCA. Bondcube Inc. is a broker/dealer and an Automated Trading System (ATS) in the US.
Paul Reynolds, Bondcube CEO said, “We started two years ago with the unique and innovative concept that the buy-side has vast amounts of liquidity that RFQ has failed to execute and no one can see that liquidity. Our very supportive first adopters have already proven our concept works at a level that exceeds our expectations. We have taken that concept further now by enabling website visitors to load their lists of securities and receive email alerts when the platform has an indication of interest in one of them.”
Martin Reck, Managing Director of Deutsche Börse Cash Market said, “We congratulate Bondcube for this milestone and wish the market every success. The 30% stake Deutsche Börse AG holds in Bondcube Ltd reinforces our strategy of supporting companies with new solutions for firms seeking alternative sources of liquidity,” adding “it also ensures that we are well positioned in the ever-changing corporate bonds market.”
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About Bondcube - Liquidity Discovery Network
Bondcube is a new all-to-all Fixed Income trading platform that boosts the overall liquidity of the global bond markets by enabling buy and sell side users to trade in a single marketplace.
Based in London and Boston, the firm believes that there is significant hidden liquidity amongst the buy-side that it has tried to execute via RFQ and failed. However, this hidden liquidity is still tradable and if it could be posted without market risk it could be discoverable by other buy or sell-side users.
Posting Indications of Interest (IoI) to specific groups of users to find a match avoids market risk. Dark-matching means only the buyers and sellers are aware of the match, although everyone has been asked. Domains provide fully lit private areas where the users can post IOIs to other permissioned users. Buy-side to buy-side negotiations are anonymous, buy-side to sell-side negotiations are fully identity disclosed.
Bondcube is free to connect to for all buy-side and sell-side firms.
The company is currently privately owned by a consortium of owners including Deutsche Börse AG and Bondcube management. The system is designed and built by industry experts with significant commercial and technical experience.
For more information www.bondcube.com
Media Contact
The Realization Group
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melanie.budden@therealizationgroup.com
