Broadridge forges alliance with Beacon for illiquid fixed income trading

Source: Broadridge Financial Solutions

Broadridge Financial Solutions, Inc. (NYSE:BR), a leading global provider of technology-based outsourcing solutions to the financial services industry, and Beacon Capital Strategies, Inc., which operates a marketplace dedicated to providing liquidity and electronic trading in the less-liquid fixed-income market, today announced a multi-year strategic alliance. Through this alliance, the firms are positioned to better serve their clients who actively trade less-liquid fixed-income securities including agency mortgage-backed securities (MBS), asset-backed securities (ABS), and collateralized mortgage obligations (CMO).

Broadridge is a leading fixed-income securities processing provider and currently handles on average over $3 trillion in notional value of U.S. fixed-income securities transactions daily. Beacon established the first trading platform tailored to the specific dynamics of the less-liquid fixed-income market, which is open to all participants on an anonymous and equal basis. This strategic alliance will help the firms' clients locate difficult-to-find securities in the less-liquid fixed-income segment, thereby enhancing liquidity and efficiency to the overall marketplace.

By utilizing Broadridge's industry-leading impact(SM) and MBS Expert® products and Beacon's cutting-edge Trade Discovery™ platform, clients will be able to search through the largest universe of less-liquid fixed-income securities, find the other side of the trade for instruments that meet specific investment criteria, and transact on liquidity that otherwise would not be publicly advertised in current trading channels.

"Broadridge has a long-standing commitment to its clients and helping them effectively navigate key business issues, such as the current market environment and liquidity crunch. Through this alliance with Beacon, our clients and other trading participants will now be able to tap into a new source of liquidity, streamline the trading process, and ultimately increase trading P&L. This alliance underscores Broadridge's commitment to enable its clients to achieve higher levels of business growth as well as create solutions that address the industry's biggest challenges. We are extremely excited to enter into this relationship with an industry innovator such as Beacon," said J. Michael Hopkins, General Manager & SVP, Securities Processing Solutions, Fixed-Income, U.S., Broadridge.

Commenting on the alliance, Robert Barsky, Chief Operating Officer, Beacon said, "This alliance enables us to provide a powerful combination of inventory management and trading heretofore unavailable in the industry. We are very excited about rolling out this capability to the marketplace."

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