MarketAxess Holdings (Nasdaq: MKTX), the operator of a leading electronic trading platform for credit, and Markit, a financial information services provider, today announced an alliance to integrate Markit Quotes into the MarketAxess client-to-multi-dealer trading platform.
Markit Quotes is a real-time quote parsing service that extracts indicative over-the-counter prices from electronic messages. The integration of Markit Quotes with MarketAxess' industry-leading fixed income electronic trading platform delivers a seamless workflow across the entire trade life cycle including pre-trade, trade execution and post-trade tools for both bonds and credit default swaps (CDS).
Kelley Millet, President of MarketAxess, said: "With industry-wide focus on improving the CDS market structure, electronic trading has never been more relevant. Our highly complementary integration with Markit will address the demand from institutional investors for greater transparency and electronic trading technology that will best support changes in the credit markets."
Shane Akeroyd, Executive Vice President and Global Co-Head of Sales and Marketing at Markit, said: "This is the first time that quote parsing and electronic trading have been combined on a single platform. Markit is committed to improving market infrastructure and transparency, and the integration of Markit Quotes into the MarketAxess trading platform will provide fixed income market participants with greater insight into credit pricing as well as ease of execution."
Peter Marber, Global Head of GEM Fixed Income and Currencies at HSBC/Halbis Capital Management (USA), Inc., said: "Integrating Markit Quotes into the MarketAxess trading platform combines best-of-breed products and represents immense value at a time of market volatility and wider bid/offers. The enhanced trading platform is user-friendly, and will help traders identify the best market levels quickly and execute efficiently with a fully electronic audit trail for compliance purposes."
Key features of the enhanced platform include:
- Real-Time Price Discovery: Clients may view real-time pricing on Markit Quotes, an intuitive, customizable screen embedded in the MarketAxess trading platform.
- Faster Execution: Clients can click any quote in Markit Quotes to launch a pre-populated MarketAxess order screen for any of the following instruments: CDS indices (Markit iTraxx and Markit CDX), CDS single-name corporates and sovereigns, U.S. agency and corporate (high grade and high yield) bonds, and emerging markets bonds (corporates and sovereigns).
- Straight Through Processing: STP is offered via a link to DTCC Deriv/SERV and other trade confirmation services. All quotes and trades are identified using Markit RED, the industry-standard identification system used throughout the CDS market.