Liquidnet opens line of communication between investors and banks

Rick Steves

“As record issuance continues across corporate bond markets, integrating with Liquidnet Primary Markets will enable streamlined access to new issues for our institutional clients.”

Liquidnet has unveiled a new feature that enables investors to communicate with syndicate banks directly from their Order and Execution Management System (O/EMS) as part of the book build process, before a bond is priced and allocated.

Charles River Development (CRD) is one of the first to deploy the feature which builds on the Liquidnet Primary Markets functionality launched in September 2021.

Orders can be sent directly from the O/EMS

Liquidnet Primary Markets enables bonds to be set up in the O/EMS in the very early stages of the syndication process using a pre-ISIN, early identifier.

The solution for primary markets aims to bring a far more efficient new issue process by offering investors access to information around announced deals in real-time and easier trading of the bond “in the grey” and immediately post pricing.

This is one more step in the electronification of the new issuance process for corporate bonds, further enhanced with validation from Liquidnet’s buy-side Members that orders can be sent directly from the O/EMS all the way to the syndicate bank group.

Vidya Guruju, CFA, Senior Product Manager, Charles River, said: “As record issuance continues across corporate bond markets, integrating with Liquidnet Primary Markets will enable streamlined access to new issues for our institutional clients. Managing these workflows directly in our O/EMS helps firms benefit from straight-through processing and other efficiencies across their front and middle office.”

Mark Russell, Global Head of Fixed Income at Liquidnet, commented: “Today’s announcement brings us another step closer to realising our vision to electronify the full lifecycle of a bond. We want to improve the capital markets ecosystem for all participants, and we are open to collaborating with existing and emerging technology providers in this space. Our work with Charles River truly exemplifies the need for interoperability”.

Invesco Asset Management has welcomed Liquidnet’s drive to electronify the lifecycle of a bond.

Paul Squires, Head of EMEA Equity Trading and Henley Fixed Income at Invesco Asset Management, stated: “The early provision of key information around a new bond issue has allowed us to get that bond set up in our OMS much earlier, facilitating more efficient collaboration between our Investment Team and Trading Desk. More electronic communication with the Syndicate Group will free up valuable time and resources for us.”

Read this next

Executive Moves

Lirunex Limited recruits Waleed Salah as head of MENA sales

Maldives-based brokerage firm Lirunex Limited has secured the services of Waleed Salah, who joined the company in the role of its head of sales for the MENA region.

Executive Moves

Trading 212 parts ways with co-founder Borislav Nedialkov

Trading 212 has a void to fill at its FCA-regulated business in London, following the departure of two key players, Raj Somal and Borislav Nedialkov.

Digital Assets

Binance acquires troubled crypto exchange GOPAX

Binance, the world’s largest digital asset trading platform, has reportedly acquired a majority stake in the troubled South Korea-based cryptocurrency exchange GOPAX.

Digital Assets

Kraken exits Middle East, closes UAE office

Digital currency exchange Kraken will close down its operations in Abu Dhabi, UAE and lay off the majority of its team focused on the Middle East and North Africa.

Industry News

CFTC comments on ION Cleared Derivatives issues after Russian-linked hack

“The ongoing issue is impacting some clearing members’ ability to provide the CFTC with timely and accurate data. As this incident unfolded, it became clear that the submission of data that is required by registrants will be delayed until the trading issues are resolved.”

Industry News

FCA took down 14 times more misleading ads in 2022 thanks to technology

The FCA has made significant improvements to the digital tools it uses to find problem firms and misleading adverts. These improvements have enabled it to work through a much larger number of cases compared with 2021.

Executive Moves

HKEX appoints ex-Goldman Sachs Matthew Cheong to lead platform’s focus on derivatives

“He has worked for a number of the world’s leading investment banks and his experience will be invaluable to HKEX as we continue to enhance our derivatives product offerings and build on our innovative and robust platform business, connecting capital with opportunities.”

Digital Assets

Zodia Custody and SBI Digital Asset Holdings launch JV for crypto asset custodian in Japan

“Zodia Custody is both proud and excited to be working with SBI DAH to help set up SBI Zodia Custody; the first tier 1 crypto asset custodian for institutions in Japan.”

Digital Assets

Paxos opens R&D center in Israel to focus on transaction signing and crypto custody security

“Paxos is looking to expand its team in Israel in 2023 and beyond, giving engineers the opportunity to work on cutting-edge financial products and shape the future of the global economy.”

<