First Electronic Tri-Party Client Interest Rate Swap Trade Executed
Poster: SySAdmin
Posted on September 30, 2010 at 7:14:01 AM
First Electronic Tri-Party Client Interest Rate Swap Trade Executed
Reduces Trade Processing Time to Less than Thirty Minutes from Execution to Clearing
LONDON, September 30, 2010/PRNewswire/ -- Tradeweb, a leading global provider of fixed income and derivatives
markets, today announced the execution of the first ever, fully electronic
tri-party interest rate swap trade, involving client, dealer, clearing member
and clearing house. The transaction was executed on the Tradeweb platform
between MPS Capital Services (the investment banking arm of Banca Monte dei
Paschi di Siena, the oldest bank in the world) and Credit Suisse. The trade
was affirmed by both parties, with Barclays Capital being the clearing
member. The trade was cleared by LCH.Clearnet, with the total transaction
taking less than 30 minutes to complete.
MPS is leading other clients in the adoption of central clearing,
expected to become the industry standard in Europe and in the United States
following pending regulation. The bank recently began backloading $200
billion of interest rate swap trades through LCH.Clearnet, in preparation for
streamlining the execution process. MPS has been executing interest rate
swaps on Tradeweb for more than four years.
"MPS has blazed a trail for the marketplace," said Enrico Bruni, Managing
Director and Head of European Rates at Tradeweb. "We anticipate that a broad
range of clients will now move quickly to adopt the central clearing model,
which along with electronic trading, represents the inevitable future of the
industry."
"We are very happy to have been involved in this landmark transaction,"
said Matteo Bertotti, Head of Fixed Income Derivatives at MPS Capital
Services. "More efficient markets will benefit all market participants in the
long run; this represents a blueprint for how the workflow will look in the
months and years ahead for many derivatives trades."
"This is an important step toward broader automation in the global
derivatives markets," said Shane O'Cuinn, Head of European Swaps Trading at
Credit Suisse. "As part of our ongoing commitment to delivering
market-leading solutions to our clients, we are pleased to be the dealer for
the first fully-electronic tri-party swap trade."
"The trade executed by MPS on Tradeweb is a testimony to the progress
made to improve trade processing in clearing OTC derivatives and to embrace
the principles at the core of regulatory reforms," said Ray Kahn, Head of OTC
Derivatives Clearing at Barclays Capital. "As an extension of our ongoing
agreement to clear interest rate swaps on behalf of MPS, we were pleased to
once again be at the forefront of developments in OTC derivatives clearing."
"We would like to congratulate Tradeweb and their partner banks for
taking another significant step in the adoption of automation in client
clearing. Clearing trades intra-day through SwapClear helps to reduce
systemic risk and our leading risk management solutions continue to benefit
both clients and clearing members alike," said Michael Davie, CEO of the
SwapClear service at LCH.Clearnet.
Tradeweb is the leading multi-dealer-to-client trading platform for Rates
products, including Government Bonds, Interest Rate Swaps, TBA-MBS and U.S.
Agencies. For European Government Bonds and Interest Rate Swaps, Tradeweb
PLUS functionality also allows access to attributed, live, executable prices
from individual dealers. Institutional investors rely on Tradeweb's
automation of these fast-moving markets for real-time pricing, and the
ability to put leading dealers in competition with each other. Clients may
then identify the best price or rate, and execute their trade within seconds.
About Tradeweb
Tradeweb is a leading provider of online markets and a pioneer in the
development of electronic trading and trade processing. The company provides
services in the fixed income and derivatives markets to clients in more than
50 countries. Since 1998, Tradeweb has operated a global fixed income and
derivatives trading network, which harnesses the distribution of the major
investment banks with over 2,000 institutional clients. In 2008, Tradeweb
introduced inter-dealing broking capability with the acquisition of voice
broker Hilliard Farber and subsequently launched Dealerweb, an electronic IDB
platform. Tradeweb Retail provides a trading and sales application to fixed
income brokers and traders.
About MPS Capital Services
MPS Capital Services is the Investment Bank of Banca Monte dei Paschi
Spa, the third Italian Banking Group, created in 2007 through the integration
of MPS Finance, the high reputated Investment Bank, and MPS Banca per
l'Impresa, the Bank for project finance, corporate finance and special
lending.
About Banca Monte dei Paschi di Siena
Banca Monte dei Paschi di Siena, founded in 1472 is considered to be the
oldest bank in the world. Today's parent company of Italy's third largest
banking group, the bank holds significant market shares in all areas of
business.
The Montepaschi Group is present all over Italy and in the major
international financial centres, with operations ranging from traditional
banking activities to Private Banking (mutual funds, wealth management,
pension funds, and life insurance policies) and Corporate Banking (project
finance, merchant banking, and financial advisory), with a special vocation
for household accounts and small and medium enterprises. With some 33,000
employees and over 3,000 branches, the Montepaschi Group offers its services
to more than six million customers.
Source: Tradeweb
UK: Paul Bowhay, Cognito +44(0)20-7438-1117, paul.bowhay@cognitomedia.com; US: Clayton McGratty, Tradeweb +1-646-430-6054, clayton.mcgratty@tradeweb.com
Reduces Trade Processing Time to Less than Thirty Minutes from Execution to Clearing
LONDON, September 30, 2010/PRNewswire/ -- Tradeweb, a leading global provider of fixed income and derivatives
markets, today announced the execution of the first ever, fully electronic
tri-party interest rate swap trade, involving client, dealer, clearing member
and clearing house. The transaction was executed on the Tradeweb platform
between MPS Capital Services (the investment banking arm of Banca Monte dei
Paschi di Siena, the oldest bank in the world) and Credit Suisse. The trade
was affirmed by both parties, with Barclays Capital being the clearing
member. The trade was cleared by LCH.Clearnet, with the total transaction
taking less than 30 minutes to complete.
MPS is leading other clients in the adoption of central clearing,
expected to become the industry standard in Europe and in the United States
following pending regulation. The bank recently began backloading $200
billion of interest rate swap trades through LCH.Clearnet, in preparation for
streamlining the execution process. MPS has been executing interest rate
swaps on Tradeweb for more than four years.
"MPS has blazed a trail for the marketplace," said Enrico Bruni, Managing
Director and Head of European Rates at Tradeweb. "We anticipate that a broad
range of clients will now move quickly to adopt the central clearing model,
which along with electronic trading, represents the inevitable future of the
industry."
"We are very happy to have been involved in this landmark transaction,"
said Matteo Bertotti, Head of Fixed Income Derivatives at MPS Capital
Services. "More efficient markets will benefit all market participants in the
long run; this represents a blueprint for how the workflow will look in the
months and years ahead for many derivatives trades."
"This is an important step toward broader automation in the global
derivatives markets," said Shane O'Cuinn, Head of European Swaps Trading at
Credit Suisse. "As part of our ongoing commitment to delivering
market-leading solutions to our clients, we are pleased to be the dealer for
the first fully-electronic tri-party swap trade."
"The trade executed by MPS on Tradeweb is a testimony to the progress
made to improve trade processing in clearing OTC derivatives and to embrace
the principles at the core of regulatory reforms," said Ray Kahn, Head of OTC
Derivatives Clearing at Barclays Capital. "As an extension of our ongoing
agreement to clear interest rate swaps on behalf of MPS, we were pleased to
once again be at the forefront of developments in OTC derivatives clearing."
"We would like to congratulate Tradeweb and their partner banks for
taking another significant step in the adoption of automation in client
clearing. Clearing trades intra-day through SwapClear helps to reduce
systemic risk and our leading risk management solutions continue to benefit
both clients and clearing members alike," said Michael Davie, CEO of the
SwapClear service at LCH.Clearnet.
Tradeweb is the leading multi-dealer-to-client trading platform for Rates
products, including Government Bonds, Interest Rate Swaps, TBA-MBS and U.S.
Agencies. For European Government Bonds and Interest Rate Swaps, Tradeweb
PLUS functionality also allows access to attributed, live, executable prices
from individual dealers. Institutional investors rely on Tradeweb's
automation of these fast-moving markets for real-time pricing, and the
ability to put leading dealers in competition with each other. Clients may
then identify the best price or rate, and execute their trade within seconds.
About Tradeweb
Tradeweb is a leading provider of online markets and a pioneer in the
development of electronic trading and trade processing. The company provides
services in the fixed income and derivatives markets to clients in more than
50 countries. Since 1998, Tradeweb has operated a global fixed income and
derivatives trading network, which harnesses the distribution of the major
investment banks with over 2,000 institutional clients. In 2008, Tradeweb
introduced inter-dealing broking capability with the acquisition of voice
broker Hilliard Farber and subsequently launched Dealerweb, an electronic IDB
platform. Tradeweb Retail provides a trading and sales application to fixed
income brokers and traders.
About MPS Capital Services
MPS Capital Services is the Investment Bank of Banca Monte dei Paschi
Spa, the third Italian Banking Group, created in 2007 through the integration
of MPS Finance, the high reputated Investment Bank, and MPS Banca per
l'Impresa, the Bank for project finance, corporate finance and special
lending.
About Banca Monte dei Paschi di Siena
Banca Monte dei Paschi di Siena, founded in 1472 is considered to be the
oldest bank in the world. Today's parent company of Italy's third largest
banking group, the bank holds significant market shares in all areas of
business.
The Montepaschi Group is present all over Italy and in the major
international financial centres, with operations ranging from traditional
banking activities to Private Banking (mutual funds, wealth management,
pension funds, and life insurance policies) and Corporate Banking (project
finance, merchant banking, and financial advisory), with a special vocation
for household accounts and small and medium enterprises. With some 33,000
employees and over 3,000 branches, the Montepaschi Group offers its services
to more than six million customers.
Source: Tradeweb
UK: Paul Bowhay, Cognito +44(0)20-7438-1117, paul.bowhay@cognitomedia.com; US: Clayton McGratty, Tradeweb +1-646-430-6054, clayton.mcgratty@tradeweb.com