CMA, the credit information specialist, today announced that QuoteVision, its market leading price discovery service for the OTC credit derivatives market, can now parse quotes on the Municipal Bond Credit Index (MCDX).
This will enable credit market professionals to act immediately on the latest and best MCDX prices and quickly analyze their exposure to risk. Additionally, CMA is providing independent price verification for the index via its DataVision service, which will supply aggregated end of day quotes for 3, 5 and 10 year tenors.
This is the first expansion into a new asset class announced by CMA since its recent acquisition by CME Group.
The MCDX enables investors to gain exposure to the U.S. municipal bonds market via an equally weighted basket of 50 investment grade municipal bond CDS (Credit Default Swaps). Over the last year the global market in credit derivatives has expanded massively to more than $62 trillion, according to Thompson-Reuters, with municipals comprising $2.6 trillion.
Laurent Paulhac, CEO of CMA, commented "We are delighted to be able to offer our clients support for MCDX so soon after the launch of the index. As this asset class continues to grow, CMA will work with our clients on the buy-side to ensure they have the information and technology they need to fully exploit MCDX trading opportunities."
CMA QuoteVision scans free form messages, extracts pricing information, and stores it in a client side database. It speeds up and simplifies price discovery, improving trading performance and providing valuable information not only for the front-office team, but also risk, finance and research groups.
CMA DataVision is a high quality, same day, consensus based price verification data service for CDS, Indices and Tranches, used primarily for mark-to-market, flash P&L, research and analytics. It is sourced from 34 buy-side firms including leading Hedge Funds, Asset Managers and the buy-side desks of global Investment Banks.