Provider of pre-trade risk and post-trade processing solutions Traiana, part of ICAP plc (LON:IAP), today announces its partnership with stock exchange BATS Chi-X Europe (BATS).
Both companies have agreed to launch a joint service that will extend OTC equity trade CCP clearing to a larger number of market participants.
BATS and Traiana have developed services that offer market participants the ability to match OTC equity trades, bring them on-exchange and push the transactions to CCP clearing. Clients that utilize Traiana’s CCP Connect service to enable matching and novation of trades to the pan-European CCP’s will now have the ability to extend the service to include on-exchange benefits under BATS’ rulebook and surveillance framework, helping to smooth risk workflows for participants.
To provide this solution, BATS has enhanced its trade reporting facility BXTR by expanding its Exchange Trade Reporting (ETR) services to integrate with Traiana’s Harmony CCP Connect service. Traiana will be the first external matching provider to offer access to the new service, which is available to all Harmony CCP Connect participants, the firm’s global network that processes Forex, equities, equity derivatives, fixed income and exchange traded derivatives.
Mark Hemsley, CEO of BATS Chi-X Europe said:
“The versatility of BXTR – and our willingness to work with providers across the trading spectrum to improve market efficiency – has been further demonstrated with this new service. By settling more trades with CCPs and netting settlements, counterparty risk and costs across the European market will be reduced.”
Roy Saadon, Head of Product Strategy and Innovation, Traiana said:
“Traiana constantly strives to provide clients with services to increase efficiency and reduce cost. The link to BATS ETR with CCP Connect further enhances the service to our clients by offering the opportunity to clear trades directly with CCP’s and bring OTC equity trades on-exchange.”
The official announcement on the collaboration can be viewed by clicking here.