Signalling the continuing growth of T-Zero and its derivatives processing business, interdealer broker CreditTrade has announced it will join the firm's straight-through-processing (STP) service.
CreditTrade is the latest addition to the platform and joins numerous banks, buyside participants and downstream operations service providers such as DTCC and GlobeOp that are connected to T-Zero. T-Zero focuses on providing "agnostic connectivity" and the benefits of accurate trade capture to the widest range of market participants including interdealer brokers, dealers, buyside firms, prime brokers and service providers.
"The addition of CreditTrade to the T-Zero service is a significant step for T-Zero and its bank clients," said T-Zero President Mark Beeston. "T-Zero can now offer banks the advantage of three important processing services in one easy-to-integrate package." These three services are the broker-neutral STP feeds provided by T-Zero on behalf of CreditTrade and Creditex as well as "T-Zero Affirm," the company's operational risk reducing affirmation service.
"Providing STP connectivity to our clients is a core part of our growth strategy," said CreditTrade founder and CEO Paul Ellis. "By providing connectivity via T-Zero, we are making it easier for our bank clients to prioritize their integration work and thus ensure that our execution platform is most efficiently connected from front to back."
Through T-Zero's STP service, banks receive an electronic feed of transactions they execute through CreditTrade. These include the highly liquid credit derivative indices (CDX) in which CreditTrade is a market leader in the North American market.
T-Zero has already integrated with numerous platforms, allowing market participants to leverage affirmed and hence accurate trade data in multiple downstream systems. T-Zero's "agnostic connectivity" model allows connection to both downstream operational systems such as DTCC and GlobeOp as well as offering broker-neutral connectivity enabling the straight-through-processing of trades to dealers on behalf of interdealer brokers. The wealth of electronic connectivity and messaging provided by T-Zero directly addresses the major inefficiencies in post-trade derivative processing highlighted by the New York Federal Reserve, the FSA and other regulators over the past year. Since being launched in August 2005, T-Zero's post-trade messaging and workflow system has been adopted by numerous major dealers and their clients.