LiquidityHub expecting launch in Q3

Chief executive Robert MacLeod said the liquidity distribution platform would start by entering the dollar and euro-denominated interest rate swap and US Treasury bond markets by October, before moving into European government bonds. He also remarked there was a possibility of bringing other, more complicated asset classes onto the platform, such as credit. “We’re trying to make a system where it is easy to add on additional products, and I expect that we’ll do that,” he said.

LiquidityHub is owned by 15 of the investment banks whose liquidity it seeks to pool electronically. ABN Amro, HSBC and Société Générale Corporate and Investment Banking were the latest to join the venture, earlier this month. MacLeod held out the possibility of more dealers working with LiquidityHub, although not necessarily with ownership stakes in the business. Banks that owned and co-operated with LiquidityHub were also free to distribute their liquidity elsewhere, according to MacLeod, as the system was not meant to be exclusive. “LiquidityHub is about creating additional avenues for banks to reach their clients,” he said.

The consortium has previously pledged to help promote greater sophistication in electronic trading. It intends to implement a new trading protocol, Request For Stream, that will allow traders to see dynamic streaming prices on their screens, as opposed to static ones. MacLeod characterised LiquidityHub as a “messaging system”, and said it would leave trade processing and post-trade settlement activities to others in the market. Earlier in May, the venture announced it had struck its first non-exclusive distribution deals with New York- and London-based trading platforms Bloomberg and Reuters.

See also: Trading platforms strike deal with LiquidityHub

  • LinkedIn  
  • Save this article
  • Print this page  

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.

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: