According to the company, the new repurchase agreement (repo) tool enables electronic trading, position tracking and processing for tri-party repo that is secured by US Treasuries. It also features a position-tracking monitor, which is designed to allow users to view their outstanding repo positions in real-time and roll them at maturity.
Financial services firms JPMorgan, Deutsche Bank, UBS Investment Bank and Morgan Stanley are the first dealers for the platform.
The repo market for fixed income is a natural candidate for electronic trading, and in particular TradeWeb, said Jim Toffey, CEO of TradeWeb. It is a technically-complex market with high volumes that requires very efficient trading processing and counter party management tools.
The initial phase of the TradeWeb Repo roll-out will allow US institutional investors to view live commingled dealer repo rates and electronically execute, process and allocate trades on one platform. The second phase, expected later this summer, will allow investors to electronically execute and process repurchase agreements for additional asset classes, including mortgage-backed securities, US agencies and other collateral.
