NEW YORK, June 17, 2020 /PRNewswire/ -- Broadridge
Financial Solutions, Inc. (NYSE: BR), a global fintech leader,
today announced that its new AI-driven corporate bond trading
platform, LTX®, has executed its first trades. Broadridge has
partnered with Jim Toffey, founder
of Tradeweb Markets, to create LTX, which combines powerful
artificial intelligence (AI) with a new digital execution protocol
that enables broker-dealers to significantly improve market
liquidity, efficiency and execution for their buy-side
customers.
Built on Broadridge's US Fixed Income post-trade processing
platform, which processes over $6
trillion in notional volume per day across 40+ dealer
clients, LTX uses AI (LTX AISM) to help broker-dealers
digitize their franchise to maximize liquidity for asset managers
while delivering improved transparency, "BestEx" and minimizing
information leakage.
"Over the past three years, Broadridge has been working with a
number of dealers and their buy-side customers to develop an
AI-enabled digital platform creating liquidity, digitizing
workflows, and increasing efficiency in corporate bond trading,"
said Tim Gokey, Broadridge CEO.
"We're excited to announce the creation of LTX based on successful
trading activity on the platform over the past several weeks. This
is the latest example of Broadridge applying next-generation
technologies to create powerful industry solutions for
broker-dealers and asset managers."
Toffey, CEO of LiquidX, leads LTX alongside Vijay Mayadas, President, Global Fixed Income
and Analytics at Broadridge, supported by a world-class team of
fixed income sales and trading professionals, technologists and
data scientists.
Improving corporate bond liquidity is a critical need, and the
LTX platform is rapidly being embraced by leading broker-dealers
and asset managers. LTX works by combining powerful AI to locate
and connect natural counterparties with a new digital protocol,
RFX®, that enables dealers to efficiently aggregate
liquidity across multiple counterparties and create trading
opportunities in seconds. These new technologies amplify the
critical role dealers play, enabling them to solve a key need for
the buy-side.
LTX's RFX protocol allows dealers to unlock more value from
their data and customer network by smartly identifying and
efficiently aggregating liquidity across multiple buyers bidding
for their desired amount, which in turn helps improve BestEx for
their customers. In addition, LTX AI and the new LTX Liquidity
Cloud® provide a more complete view into pre-trade and
post-trade liquidity, further enhancing dealers' ability to
aggregate liquidity from natural counterparties and better
servicing their customers. These new capabilities enable
broker-dealers and asset managers to digitize complex processes for
more efficient corporate bond trading. Leveraging these next-gen
technologies is part of Broadridge's investment in The ABCDs of
Innovation® - AI, Blockchain, Cloud and Digital – helping clients
and the industry move markets forward into the future.
The total size of the US corporate debt market has grown to
nearly $10 trillion with only a small
fraction traded daily and an even smaller fraction traded
electronically. Of bonds that do trade, fewer than 25% trade
electronically today. The size, complexity and opacity of the
market, along with more stringent regulations, have greatly
increased the need for buy-side firms and dealers to access
liquidity efficiently. According to a Greenwich Associates report
published in January 2019, 82% of
corporate bond investors found trades above $15 million in size "very difficult" to execute.
LTX's AI, Liquidity Cloud and RFX will directly address these
challenges.
About Broadridge
Broadridge Financial Solutions, Inc. (NYSE: BR), a $4
billion global Fintech leader, is a leading provider of
investor communications and technology-driven solutions to banks,
broker-dealers, asset and wealth managers and corporate issuers.
Broadridge's infrastructure underpins proxy voting services for
over 50% of public companies and mutual funds globally, and
processes on average more than $7 trillion in fixed
income and equity securities trades per day. Broadridge is part of
the S&P 500® Index and employs over 11,000 associates in 18
countries.
For more information about Broadridge, please visit
www.ltxtrading.com.
Contact Information
Investors:
W. Edings Thibault
Investor Relations
(516) 472-5129
Media:
Gregg Rosenberg
Corporate Communications, Broadridge
(212) 918-6966
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SOURCE Broadridge Financial Solutions, Inc.