Totem Market Valuations, a provider of over-the-counter derivatives price information, is to expand its interest rate derivatives pricing service to include Swiss francs, Hong Kong dollars and Korean won. The products covered will be interest rate swaptions, caps and floors.Totem already provides interest rate pricing information in euros, sterling, US dollars and yen. Tim Barker, chief executive, said: “Totem’s business provides greater coverage and granularity than that which is available from the [inter-dealer] brokers, with an emphasis on the quality of information.”
The trading activity of options brokers tends to focus on at-the-money levels, according to Barker. Totem aims to add value by using information from banks that have large options portfolios with varying out-of-the-money strikes and expiries that need to be price-checked. Barker said leading brokers such as Icap and Cantor Fitzgerald, which provide data services derived from their trading activities, are unable to supply this information.
Totem also supplies market data covering other OTC markets, including equity derivatives, foreign exchange options and commodities. Mark-it Partners, a credit market data provider, acquired Totem in May this year.
More on Derivatives
Central bank says dealers are moving trades offshore to avoid KRX's high cost
Wujiang Lou shows the impact of funding costs on option valuation
New fee structure amounts to a fourfold increase in some cases
Different treatment of public and private banks stymied netting – but this could now change
Sign up for Risk.net email alerts
Sponsored video: MarketAxess
Sponsored video: Tradeweb
Multifonds talks to Custody Risk on being nominated for the Post-Trade Technology Vendor of the Year at the Custody Risk Awards 2014
Sponsored webinar: IBM Risk Analytics
There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.