The development will be used to support the commercial bank’s RMB cash bond market-making under Bond Connect and its USD interest rate swap (IRS) market-making in Hong Kong.

Read more: Bloomberg and HKEX enhance Swap Connect solutions to facilitate global investments for IRS market

Bloomberg’s sell-side solutions – which include TOMS and ETOMS – will allow the bank to optimise its trading services for international investors; automate the workflows of bond pricing, sales and trade execution; and electronify USD IRS market-making.

“As China’s financial markets continue to open up, China Minsheng Bank is committed to strengthening ties and communications with foreign investors and enhancing our market-making capabilities,” said Qingyu Wang, head of financial markets department at China Minsheng Bank.

“Our collaboration with Bloomberg provides automated workflows for better operational efficiency, a transparent price display channel to facilitate informed decision-making and a means to reach out to global investors.”

TOMS was previously adopted by China Minsheng Bank to book multiple asset class exposures, enabling real-time profit and loss and risk analysis, as well as integration with back-office settlement systems.

The addition of ETOMS will enable the commercial bank to send customised quotes to clients, provide pre-trade quotes and axes into aggregation tools, and display real-time quotes on a designated page of the bank on the Bloomberg Terminal, bolstering communication and trading efficiency among investors overseas.

“We are pleased to strengthen our partnership with China Minsheng Bank and support its international business development with our industry-leading sell-side solutions,” said Dahai Wang, head of Greater China at Bloomberg.

“Electronic trading and automated workflows are important trends in global finance, enhancing competitiveness through more accurate pricing, smoother trade execution, and efficient risk management.”

The post China Minsheng Bank enhances market-making capabilities through adoption of Bloomberg sell-side solutions appeared first on The TRADE.

Announced on social media, the move was described as marking “a significant milestone in Millennium Advisors’ growth, reinforcing [its] commitment to the APAC region”. 

The strategic development is set to pave the way for enhanced global operations for the firm, as well as signalling Millennium Advisors’ commitment to its counterparties. 

Read more: Millennium Advisors hires from within for new head of EMEA sales

Earlier this year, Millennium Advisors partnered with fixed income software solutions provider Investortools to streamline workflows for municipal bond investment managers through digitisation. 

Through the partnership, Millennium is set to be fully featured as an electronic trading package for straight-through-processing, enabling users to lift, bid, counter and receive allocation details electronically directly within Investortools’ software.

The post Millennium Advisors launches Singapore office appeared first on The TRADE.

Rohit Verma

The platform, aimed at the global FX market, combines the benefits of an NDF CLOB with clearing.

Rohit Verma, head of post-trade Asia Pacific at LSEG, said: “As a leader in the Asian NDF market and Singapore’s first LCH ForexClear member, we look forward to supporting their clearing activity on the platform.”

LSEG’s fully cleared non-deliverable forwards (NDF) matching platform went live in November 2023 following the initial announcement in May. 

The Singapore-based platform has the backing of the Monetary Authority of Singapore (MAS) and represented the first stage of LSEG re-platforming its FX venues to its core technology. 

Kelvin Ng, group head of global markets, at UOB, said: “Through this service, we are able to benefit from enhanced execution and access to cleared liquidity in addition to the operational efficiencies that LSEG’s end to-end-solution provides.”

The post UOB becomes first Singaporean bank to join LSEG NDF matching platform appeared first on The TRADE.

Specifically, the offering enhances and aligns trading opportunities for users across the Korean, US, and European time zones, making Korean derivatives available during US and European trading hours.

Milan Galik, chief executive of Interactive Brokers highlighted exactly what time means for users: “Clients can now take advantage of extended hours to trade in one of the world’s most liquid derivatives markets. Our global client base, including APAC, European and American clients, benefit by having access to KOSPI derivatives during normal and extended trading hours, regardless of location.”

Through the expanded trading hours, products include: KOSPI 200 Options, Mini-KOSPI 200 Futures, KOSPI 200 Futures, and USD/KRW currency futures.

Speaking in an announcement, the firm confirmed that recent regulatory changes have made processes easier for foreign investments in South Korean equities.

“These changes are expected to elevate South Korea’s status from an emerging to a developed market, making it more appealing to global institutional investors,” said the company.

Read more: Interactive Brokers expands European trading through Cboe Europe Derivatives

Interactive Brokers’ clients can trade Korean derivatives along with the rest of the business’ offering from a single unified platform across various currencies, including the Korean Won.

The post Interactive Brokers enhances APAC reach with extended Korean derivatives trading hours appeared first on The TRADE.

If authorised, Mizuho is set to leverage its presence in the region which includes several offices.

The firm will provide services and solutions across high added value funds raising and management, centring on bonds. These will be available to issuers and investors both within and outside of China.

The capital markets in China are the world’s third largest fee pool, with further investment in the region and market expansion expected across the industry, asserted Mizuho.

Read more: Celebrating International Women’s Day with… Mizuho’s Lu Fu

According to the firm, “through the new securities company in China, Mizuho will contribute to the further development of the Chinese capital markets and provide even stronger support for clients’ China and renminbi-related business”.

The post Mizuho unveils plans to establish securities business in China appeared first on The TRADE.

The launch follows the Group’s global institutional FX exchange, LMAX Exchange, receiving a Recognised Market Operator (RMO) licence from the Monetary Authority of Singapore (MAS) in November last year. 

Read more: LMAX Group given green light for NDF trading in both Singapore and London

The FX NDFs are traded on a central limit order book (CLOB), delivering transparent price discovery and execution to all market participants including banks, non-banks, proprietary trading firms, institutional brokers, asset managers and buy-side institutions.  

“We are delighted to go live with this offering, which will provide local FX market participants with access to an expanded pool of NDF liquidity through a regulated exchange venue and a CLOB model that delivers efficient market structure and transparent, precise, consistent execution,” said Matt DellaRocca, head of liquidity and analytics, APAC at LMAX Exchange. 

“We look forward to supporting our global customers as we expand our FX offering for customers operating in the Asia Pacific region.” 

The launch will initially target Asia Pacific and will support increasing regional demand for FX NDF trading and access to institutional liquidity as well as enhanced FX market structure. 

LMAX Exchange’s FX NDF trading via Singapore and London will initially offer top Asian USD crosses including Indian Rupee (INR), South Korean Won (KRW), New Taiwan Dollar (TWD), Chinese Yuan (CNY), Indonesian Rupiah (IDR), Philippine Peso (PHP) and Malaysian Ringgit (MYR), with LATAM crosses expected to be offered at a later stage.  

“The launch of NDF trading by LMAX Exchange is a significant step forward in the growing importance of Singapore as a hub for FX price discovery,” said Paul Buttenmueller, global head of eFX trading at UBS. 

“This will improve market access to local pricing for Asian emerging market currencies, building liquidity and supporting volume growth of NDFs.”

The post LMAX Group goes live with FX NDF trading in Singapore and London appeared first on The TRADE.

The development coincides with the latest enhancements applicable to the Northbound Swap Connect scheme, which commence today and are introduced by China Foreign Exchange Trade System (CFETS), Shanghai Clearing House, and OTC Clearing Hong Kong.

Bloomberg’s enhancements to its Swap Connect solution include new features that support IRS contracts with International Monetary Market (IMM) dates and the ability to offset existing contracts in global investors’ portfolios.

Swap Connect is the OTC derivatives trading link between Mainland China and Hong Kong, which allows market participants to trade IRS.

Read more: Swap Connect launches as first derivatives trading link between Mainland China and Hong Kong

The new acceptance of mainstream IMM dates-based IRS contracts will enable the scheme to further meet investors’ risk management needs, according to Bloomberg.

The offset services will also allow investors to compress eligible IRS contracts with equal and opposite economics at the clearing house, helping reduce capital costs and bolster trading.

HKEX’s subsidiary for clearing has also implemented enhancements to Swap Connect in partnership with CFERS and SHCH.

The enhancements will offer improved flexibility for international investors to manage RMB interest rate risk through China’s onshore interbank markets.

The new measures aim to enable more international institutional investors to manage interest rate risk on RMB bond investments with RMB interest rate swaps, which will ultimately help bolster Hong Kong’s competitiveness and supporting the internationalisation of RMB.

“As we reflect upon one year of Swap Connect in operation, it is only fitting that the first derivatives mutual market access scheme between Mainland China and Hong Kong is taking another significant step forward,” said Dahai Wang, head of Greater China at Bloomberg.

“We will continue to work closely with our partners to optimise this solution, empowering global investors and helping to deliver new levels of access to China’s onshore financial markets.”

The post Bloomberg and HKEX enhance Swap Connect solutions to facilitate global investments for IRS market appeared first on The TRADE.

Yen Leng Ong

Specifically, trading will be provided via Northern Trust’s ITS, which is offered through the institutional brokerage part of the firm’s Banking and Markets segment, which also provides: FX, securities lending, and transition management services.

Yen Leng Ong, country executive, Southeast Asia at Northern Trust, explained that New Silk Road approached the firm looking for a solution “to help navigate cross-border trading challenges amidst a changing market structure in North America”.

Leng Ong added: “By enabling our client-centric solution approach, we determined that our ITS offering was the right fit to provide seamless integrated middle to back-office processing along with efficient trade execution. We look forward to continuing to build our relationship with New Silk Road to enhance their global trading needs.”

Read more: T+1 Industry Issues Forum 2024: Funding and FX challenges

The imminent shift to T+1 in the US is a clear catalyst for this move as Asia-based asset managers expect big challenges due to the time differences.

Northern Trust’s outsourced trading capability “combines worldwide trading expertise in equities and fixed income, exchange traded derivatives, futures and exchange traded funds (ETFs) across global markets,” claims the firm. In addition, the offering includes coverage from multiple trading locations.

Read more: Over half of asset managers do not believe that the T+1 shift will make US equities more attractive

“T+1 introduces significant market timing challenges to investors and managers in Singapore and New Silk Road has a strong understanding of the issues involved in this change,” said Gerard Walsh, global head of client solutions, banking and markets at Northern Trust.

“Northern Trust is very pleased to be working with New Silk Road to ensure their US dollar execution, trade matching, clearing, settlement process, and trade-related foreign exchange are managed as a single lifecycle.” 

In addition to the trading services, the firms confirmed that Northern Trust is set to continue to provide global custody services for New Silk Road funds – which it has done since 2011.

The post Singaporean investment manager New Silk Road outsources trading to Northern Trust appeared first on The TRADE.

In his new role, Bhat will be responsible for collaboration with front-to-back asset serving platform, State Street Alpha, as well as overseeing all business in the region.

Speaking to his appointment, Bhat said: “I am delighted to be joining CRD at a time of exceptional demand and excited to work closely with our Charles River and State Street Alpha clients, continuing our open partnership model that has been at the core of our success. 

“I look forward to working with my new colleagues to build on growth and expansion in the region.”

Prior to joining CRD, Bhat worked in various senior positions over 25 years, focused on sales, consulting, and engineering. Before joining FactSet, he spent a decade at Tata Consultancy Services.

Spiros Giannaros, chief executive and president of CRD highlighted that Bhat’s primary location in Singapore will allow him to work closely with the broader State Street organisation, specifically on go-to market initiatives and client servicing.

He also added: “In addition to his responsibilities for Charles River APAC, Vin will have client and commercial oversight of the Middle East and take on committee chair for a newly formed alpha APAC executive committee.” 

State Street confirmed plans to acquire buy-side front office services provider Charles River Development in a landmark $2.6 billion deal back in July 2018.

CRD’s flagship Investment Management Solution (IMS) automates front and middle office processes for buy-side firms in more than 40 countries, including 50 of the top 100 asset managers that in aggregate have more than $25 trillion in assets under management.

The post Charles River taps FactSet for new head of Asia-Pacific appeared first on The TRADE.

Joe Collery

“There has certainly been developments, particularly in electronic trading in these regions but I would still say perhaps proceed with caution because it can be difficult,” he said. 

“[…] There is definitely an appetite for our money to invest in these areas because there is a fantastic growth story there but I think we would certainly feel a bit more comfortable trading these markets high touch where you just have those added pair of eyes in the market where the expertise are.”

Specifically, Collery highlighted the important role of portfolio managers and a proactive approach to forging those key relationships.

“Behind all this is the PMs that have done the leg work with the company itself, they’ve visited, they’ve walked the floor of the factory and they’re very comfortable in the structure of the business and then that gives the desk that added impetus to comfortably invest.” 

Read more: The TRADE sits down with head of trading at Comgest, Joe Collery at TradeTech 2024

However, when it comes to the empirical execution, PMs should aim to be realistic the panel agreed, especially as regards to foreign exchange, trading day hours, and the ever-disputed settlement processes. 

“You should put the systems in place first that allow for smooth straight through processing before you even begin to think about entering the area […] PM’s lead the way but note that there’s a time – three months, six months, whatever the case may be – depending on your internal set up to get this in place and create a realistic road map.” 

Sandeep Sabnani, head of equities product strategy and growth at ION Markets, echoed this sentiment, highlighting that having a trusted technology infrastructure in place is paramount.

“You have to make sure that you’re not opening yourself up to operational or reputational risks while you’re trading in these emerging markets, there’s a high level of comfort that you need, and this picture is evolving. This picture is changing as we see more international players trying to access. 

“What gives the buy-side the trust and confidence of ‘my execution is going to happen exactly as I expected’ you need the researcher side of course, but also from a tech standpoint that can give you a solid foundation to build your business on within these emerging markets.”

Read more: Two thirds of prop trading firms plan to trade new exchanges this year

Getting into the more granular details about the systems being put in place in order to enable the buy-side to seriously invest in the EM space, Fahad Al Ammari, head of cash markets development at the Saudi Exchange, shared that the story began nearly a decade ago with the country’s ‘2030 vision’. 

“The Saudi Exchange plays an important role. There is a financial sector development programme within the country which involves all of the financial players,” he said. 

“In the past decade, we’ve seen increase the number of investors and the number of listings we’ve issued, the qualified Foreign Investors Regulations was introduced 2015, which allows foreign investors to have direct access to the market and today we have 3800 foreign investors. In terms of liquidity, we’re seeing high growth, especially after Covid and today we’re seeing around 2.5 to 3 billion US dollars traded every day which is big.” 

Read more: Saudi Exchange welcomes Merrill Lynch to growing list of market makers

Further delving into how stability and reliability are being baked into emerging markets systems, Sabnani highlighted the relevance of India’s recent shift to T+1 and the expectation for T0 and an eventual move to instant settlement.

With this in mind, the panellists agreed that when it comes to emerging markets understanding the minutiae of the different regions is of the upmost importance and something to be overlooked at firms’ own peril. 

As Sabani explained: “What you’re trying to do here is you’re looking at two different sides of the coin. Markets want to grow, but then there’ll be interesting challenges such as different settlement regimes which is a very hot topic across the board […] what this means is for a broker it becomes extremely challenging to understand how to have multiple instruments settling in different settlement regimes or different currencies.” 

The question ultimately becomes whether these players have the right infrastructure and systems to cope with that complexity. To trade in the emerging markets space, you must be aware of trading intricacies which affect trading hours, such as public holidays and other potentially unforeseen speed bumps. 

“These challenges must be at the top of everybody’s list when you’re looking at the other global network,” concluded Sabnani.

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