News & Events

Rumours have swirled around Tullett Prebon’s swap execution facility (Sef) ever since US swap trading rules came into effect in October 2013. Although every Sef is required to operate a central limit order book (Clob), Risk.net was not able to find a single market participant that has accessed the Tullett Clob directly, despite having access to others, such as those available at Tradition and Icap.

In line with the previous year, the market environment for the Group’s interdealer broking business was generally stable in 2017.

In the fourth quarter, consolidated revenue was CHF 201.7m compared with CHF 190.7m in the same period in 2016, representing an increase of 4.1%.

In summary, excellent growth at the three dealer-to-client Sefs: Bloomberg, Tradeweb and TrueEx, in part driven by portfolio maintenance compression and roll activity, with Tradeweb now established as the largest. For dealer-to-dealer Sefs, TP Icap is the leader with gains in the third quarter, while IGDL and Tradition are down during the period, possibly due to lower CME-LCH central counterparty switch volumes.

Tradition, one of the world’s largest interdealer brokers in over-the-counter commodity and financial products, has received two prestigious accolades at the GlobalCapital Global Derivatives Awards 2017, winning Swap Execution Facility of the Year – Overall, and Swap Execution Facility of the Year – CLOB.

"Equivalence should probably be considered with a principles-based approach around the core areas of access, transparency, quality and fairness of pricing, running orderly markets, trade certainty, and so on,” says Scott Fitzpatrick, chief executive of TraditionSEF.

“If you’re talking about forcing trillions of notional through the market in a short period of time, then that basis could go anywhere. There is no upper limit,” says Stuart Giles, managing director for strategy and business development at interdealer broker Tradition.

Clarus CEO Amir Khwaja breaks down global swaps volumes, including SEF volumes and CCP market share:

"Continuing with our monthly Swaps review series, let’s look at volumes in May 2017 and in a change from the usual format of SDR data, then SEF market share and then CCP volumes, I will take a product centric view."

“Let’s start with Tradition’s EUR CCP Basis Swaps Prices for April 10, 2017”.