Props stopped: non-banks struggle to crack US swaps market

Teza, TransMarket, Virtu among firms held back by regulation and old market practice

risk-0816-hft-no-prop-web
"There is only one reason why the floor trader exemption rule hasn't been clarified, and that is to keep us out of the market," says one PTF head

With incumbent dealers under increasing pressure, the time should be ripe for proprietary trading firms (PTFs) – nimble, low-cost and technologically savvy – to steal a share of the swaps market. So far, it hasn't turned out that way.

Risk.net spoke with 10 PTFs eager to quote prices for the interdealer swaps market. At least four – HTG Capital, Teza Technologies, TransMarket Group and Virtu Financial – have already signed up to one or more Sefs, while DRW is also understood to have had some

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: