Today, Bloomberg unveiled its Electronic Trade Order Management Solution, or ETOMS, a managed service used by U.S. regional broker-dealers to access and engage fixed income electronic markets as both liquidity providers and liquidity takers.
As the fixed income marketplace becomes more electronic, regional dealers need to connect to multiple trading venues in order to source liquidity and respond to client orders. Bloomberg ETOMS enables dealers to access liquidity in U.S. corporate, municipal, and government bonds as well as automate certain aspects of trader workflow, such as price generation, trade negotiation and execution.
"Regional dealers are looking for technology to help them operate more efficiently in an evolving marketplace impacted by new regulations, investor demand for more transparency, and balance sheet constraints," said Mike Wood, global head of Bloomberg's sell-side fixed income order management solutions group. "Bloomberg ETOMS provides market connectivity and trading tools to synchronize and manage trade inventory, risk, compliance and electronic trading workflows within a fully-hosted environment."
Bloomberg ETOMS extends the capabilities of Bloomberg's Trade Order Management Solution (TOMS), the award-winning order management solution for fixed income broker-dealers. Bloomberg ETOMS provides U.S. regional dealers with a range of capabilities, such as:
- Market connectivity to 15 electronic trading venues in the U.S.
- Aggregated market liquidity and order execution tools for price-taking.
- Real-time price generation tools for market making.
- Tools to aggregate client trade flow and facilitate trade negotiation and execution.
- Client metrics that measure electronic trading performance.
Southwest Securities, a Dallas-based regional dealer, uses Bloomberg ETOMS to manage electronic inquiries and orders, automate price quotes and connect to fixed income liquidity venues.
"We use Bloomberg TOMS and ETOMS to aggregate liquidity from across the fixed income universe and manage our electronic order flow, inventory and risk exposure more efficiently," said Daniel Leland, Executive Vice President of Southwest Securities. "Bloomberg ETOMS connects us to diverse liquidity sources and automates trader workflow so we can focus on providing our clients with best execution."
Used as a combined solution, Bloomberg TOMS and ETOMS enable firms to manage voice and electronic order flow and consolidate trade reporting to regulatory systems such as TRACE as part of a robust compliance and trade performance management process.