NYSE Euronext (NYX) today announced that NYSE BondMatch, its new Multilateral Trading Facility (MTF) designed to meet European user needs for transparency, liquidity and effective pre- and post-trade services on the euro-denominated bond market, received regulatory authorization and will begin trading on July 11, 2011.
" We are very happy to announce the launch of NYSE BondMatch, a revolutionary order book-driven bond market that promises to bring real reform and new liquidity to corporate bonds trading in Europe," said Roland Bellegarde, NYSE Euronext’s Executive Vice President for European Listing and Cash Trading.
NYSE BondMatch will enable professional investors to trade more than 1,800 international corporate, financial and covered bonds on a transparent order book with firm orders. This competitively-priced new European trading platform will not only improve transparency and liquidity by being open to all, whether on the buy side or on the sell side, it will also offer compulsory post-trade services with a central counterparty, LCH.Clearnet SA, connected to major European national Central Security Depositories (CSD) and International Central Security Depositories (ICSD) for settlement and delivery.
"The financial crisis highlighted the urgent need for a more liquid, transparent, secure and automated bond market", added Fabrizio Capanna, Head of Retail Credit Trading Europe (ex-UK) at BNP Paribas CIB. "We are confident that NYSE BondMatch will boost liquidity, reduce risk and encourage greater participation by reducing dealing costs and making the market more transparent."
NYSE BondMatch has expanded its Strategic Committee with the appointment of François de Causans, Head of Funding at Total, Dominic Holland, Director Credit e-Commerce at Deutsche Bank, Thijs Aaten, Head of Allocation at APG Investments, and Olivier Gazzolo, co-Head of European Credit Trading at Société Générale CIB.
Jean-François Boulier, CEO of Aviva Investors Europe and Chairman of NYSE BondMatch’s Strategic Committee, said: " We are delighted that such prestigious names in global finance have decided to join the Strategic Committee of NYSE BondMatch. The Committee now reflects the diversity of participants even better, both in terms of geography and market representativeness."
"The success of NYSE BondMatch will depend on the will of all participants to drive the market from the offset, including banks and brokers who will benefit from opportunities to increase trading volumes with lower risk," said Christophe Roupie, Global Head of Trading and Securities Financing at Axa Investment Managers and Deputy Chairman of NYSE BondMatch’s Strategic Committee.
