Liquidnet launches Primary Markets offering to electronify the full life cycle of a bond
Liquidnet, a global institutional investment network, has launched Liquidnet Primary Markets, a new offering providing an electronified Debt Capital Markets (DCM) workflow for new issue announcements alongside a new protocol for trading new issues.
Integrated into the existing Liquidnet Fixed Income trading application, the DCM workflow provides a dashboard of new issue announcements. It will also be available to non-trading desk users, such as portfolio managers, analysts, and compliance teams, through a web-based portal.
The New Issue Trading protocol enables Members to trade new issues in the European investment grade, high yield and emerging bond markets, and in the US, in emerging bond markets.
Mark Russell, Global Head of Fixed Income at Liquidnet, says: “Liquidnet Primary Markets is an essential first step in realising our ambition of becoming the first agency broker to achieve the end-to-end electronification of the life cycle of a bond. We have consulted extensively with major market participants to build a truly customised and electronic solution for new debt issuance.”
Russell adds: “With our DCM workflow and new issue trading offering, we are addressing the challenges of fragmented new issue dissemination and improving the format of new issue announcements. For our Members, this means access to primary and secondary markets through a single Liquidnet application and represents new trading opportunities in a fast moving and rapidly evolving market.”
Paul Tregidgo, Senior Advisor with Liquidnet, says: “Our parsing technology is a critical part of the DCM workflow. It creates structured data out of the extensive deal messages received from syndicate banks. This will significantly accelerate the availability of new issue deal data into Order Management Systems and bring greater visibility on new issues to both the buy and sell side.”
This new offering will be complemented by the firm’s new Fixed Income member service model, including a dedicated Trade Coverage team providing specialised institutional expertise and insight designed to help Members seize trading opportunities.
Nicolas Breteau, CEO of TP ICAP, says: “Liquidnet Primary Markets brings something truly new, innovative, and valuable, to the bond market. Importantly, the creation of Liquidnet Primary Markets was market-led. In bringing our plans to life, we worked proactively and cooperatively with a wide range of buyside, sell-side, and other market participants, including data vendors and the OMS community. Liquidnet has long been known for innovation and best-in-class connectivity, and these are strengths that we will continue to build on as we further develop our Fixed Income offering.”