06 Dec 2006, Mark Pengelly, Risk magazine
LiquidityHub was formed in July, after banks’ negotiations with Bloomberg for a similar idea broke down. The New York-based data provider had intended to spin off its SwapTrader platform and give banks equity in a trading system combining their liquidity.
LiquidityHub said it does not intend to become a trading platform itself, but will distribute its liquidity in interest rate swaps and US government bonds elsewhere. It is currently in “active dialogue” with electronic execution platforms and market data distributors, and anticipates a launch in mid-2007.