CHICAGO, Nov. 4, 2021 /PRNewswire/ -- Cboe Global
Markets, Inc. (Cboe: CBOE), a leading provider of global market
infrastructure and tradable products, today announced plans to
introduce a new dealer-to-dealer electronic trading platform for
On-The-Run U.S. Treasuries. The platform ("Cboe Fixed Income") will
be Cboe's first cash U.S. Fixed Income product offering, further
diversifying and expanding its products, services and technology
offerings into new markets and geographies around the world.
Cboe Fixed Income is planned for launch in the second quarter of
2022, subject to regulatory approvals.
The new trading platform is designed to better enable dealers in
U.S. Treasuries to efficiently source liquidity and trade in size,
while reducing market impact. This new platform will leverage the
expertise and proven track record of Cboe FX, a global leader in
electronic trading for 20 years with a reputation for world-class
technology, cutting-edge liquidity solutions, product innovation
and trading reliability and efficiency.
"We are excited to bring the best of what we do in the global FX
market to the U.S. Treasuries space," said Jonathan Weinberg, Senior Vice President and
Head of FX and U.S. Treasuries at Cboe Global Markets. "Cboe Fixed
Income is designed to address some of the biggest challenges that
dealers face today, including flow segmentation, information
leakage and high hedging costs. We believe the new trading platform
will provide a unique solution that enables liquidity providers to
interact directly with high-quality order flow, reduce market
impact and receive opportunities for price improvement."
Cboe Fixed Income will bring Cboe's Full Amount technology –
which enables large order risk transfer with low impact – together
with its liquidity curation and analytics capabilities to further
enhance trading in U.S. Treasuries. The powerful combination of
these capabilities is expected to create a high-value offering that
differs from other interdealer trading models in the
marketplace.
Through the Full Amount matching protocol, liquidity consumers
will be able to transact against the best quote from a single
liquidity provider, while satisfying the full amount of the order
to help minimize information leakage and slippage. Trades also will
print in single executions, reducing ticket costs.
In addition, Cboe Fixed Income will provide customized liquidity
curation services to help participants effectively manage liquidity
segmentation. Cboe expects to actively engage with customers to
analyze flows, provide valuable insights to make better-informed
trading decisions, and continuously optimize the trading experience
for liquidity consumers and providers.
"With our footprint covering the world's largest and most liquid
marketplaces, we are excited to enter the U.S. Treasuries market
and further broaden Cboe's market operations on a global scale,"
said Ed Tilly, Chairman, President
and Chief Executive Officer of Cboe Global Markets. "Fixed Income
represents an untapped market for Cboe with many exciting product
possibilities, and we look forward to extending our innovative
technology and trading solutions to this asset class to serve an
even broader base of market participants."
Cboe Fixed Income is in the process of registering with the
Securities and Exchange Commission (SEC) as a government securities
broker-dealer and becoming a member firm of the Financial Industry
Regulatory Authority (FINRA). Participants can code to the
Cboe Fixed Income technology specifications, and access to the
platform is also expected to be made available through key vendors
in the marketplace. For additional information, please contact
FISales@cboe.com.
About Cboe Global Markets, Inc.
Cboe Global Markets
(Cboe: CBOE), a leading provider of market infrastructure and
tradable products, delivers cutting-edge trading, clearing and
investment solutions to market participants around the world. The
company is committed to operating a trusted, inclusive global
marketplace, providing leading products, technology and data
solutions that enable participants to define a sustainable
financial future. Cboe provides trading solutions and products in
multiple asset classes, including equities, derivatives and FX,
across North America, Europe and Asia
Pacific. To learn more, visit www.cboe.com.
Media
Contacts
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Analyst
Contact
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Angela
Tu
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Tim
Cave
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Kenneth Hill,
CFA
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+1-646-856-8734
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+44 (0)
7593-506-719
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+1-312-786-7559
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atu@cboe.com
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tcave@cboe.com
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khill@cboe.com
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SOURCE Cboe Global Markets, Inc.