Black Rock and Tradeweb Markets announced cooperation in e-commerce
2022.12.06 08:16
Black Rock and Tradeweb Markets announced cooperation in e-commerce
Budrigannews.com – BlackRock Inc., the largest asset manager in the world (NYSE:) and a trading platform called Tradeweb Markets The companies announced on Tuesday that they are working together to improve electronic bond trading.
Through the partnership, users of BlackRock’s Aladdin system, which is widely used in the financial sector to manage investment portfolios and risk, will have greater access to Tradeweb’s credit platform and data.
According to the companies, the move will enable investors to access additional liquidity in markets for corporate, municipal, and emerging market bonds.
Chris Bruner, chief product officer at Tradeweb, stated to Reuters, “It is definitely a key benefit of further deepening these integrations to be able to improve your liquidity and capacity to trade in very volatile environments as well.”
Users will also be able to access all-to-all trading through the partnership, which lets buyers and sellers deal directly with each other rather than using market makers like banks. In 2017, Tradeweb introduced all-to-all corporate bond trading.
This year, the credit markets in the United States have been turbulent for investors. As concerns about a recession have grown, bond market liquidity has deteriorated, and interest rates have increased, corporate debt has lost value.
This year, the Federal Reserve of New York began publishing monthly updates on the liquidity of U.S. corporate bonds to assist in identifying indicators of market distress similar to those seen in early 2020 and during the global financial crisis. It stated last month that, despite being “strained” in the investment-grade segment of the market, market functioning continued to appear healthy.
According to a statement released by Kamya Somasundaram, managing director and general manager of the Aladdin Business at BlackRock, “Credit markets have grown increasingly electronic in recent years, but significant opportunities still exist to accelerate this trend through expanding pools of liquidity.”
