MTS and Wematch.live successfully launch Risk Netting Service for Interest Rate Swaps

Amsterdam, Brussels, Dublin, Lisbon, Milan, Oslo, Paris and London – 26 June 2023 Euronext today announced that MTS, one of the leading European electronic fixed income platforms, and Wematch.live, the award-winning fintech digitising buy- and sell-side firms' dealing workflows, have successfully run the first session of the Risk Netting Service for Interest Rate Swaps (IRS).

The 3 month vs 6 month EURIBOR (3m/6m) basis session executed trades across several participants and tenors on 20 June 2023. 

The MTS Swaps Risk Netting Service is a session-based trading functionality that builds upon and complements the web-based interdealer trading venue for the Interest Rate Swaps (IRS) market, MTS Swaps by Wematch.live, launched in February 2023.

The MTS Swaps Risk Netting Service is the only platform for automated risk netting of IRS inclusive of trading constraints, PnL controls and contingencies. 

Participants can efficiently manage their risk across their IRS portfolios during regularly scheduled Risk Netting sessions in 3m/6m, €STR/EURIBOR, and Eurex/LCH basis

MTS also plans to launch a dealer-to-client RFQ (Request for Quote) trading functionality for IRS, BondVision Swaps, in early 2024

Oliver Clark, Head of Product Development at MTS, said:The MTS Swaps Risk Netting Service delivers another innovative electronic trading solution and source of unique liquidity for traders in the interest rate swaps market. We look forward to working with our clients to continue innovating across the rates market.

Steve Schiff, Head of Risk Netting Services at Wematch.live, said: "We are thrilled to have run the first session of the Risk Netting Service by Wematch.live for interest rate swaps with our partners, MTS. This milestone represents a significant advancement in our mission to provide cutting-edge solutions and enhance liquidity in the interest rate swaps market. The session-based functionality of the Service enables participants to effectively manage risk in bulk across their portfolios, fostering efficiency and mitigating PnL volatility: we are proud to be at the forefront of innovation and look forward to further collaboration with MTS as we build out new liquidity pools for the rates market."

To contact us about MTS Swaps by Wematch.live, email: mts.swaps@euronext.com

 

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About Euronext

Euronext is the leading pan-European market infrastructure, connecting European economies to global capital markets, to accelerate innovation and sustainable growth. It operates regulated exchanges in Belgium, France, Ireland, Italy, the Netherlands, Norway and Portugal. With close to 1,930 listed issuers and around €6.8 trillion in market capitalisation as of end March 2023, it has an unmatched blue-chip franchise and a strong diverse domestic and international client base. Euronext operates regulated and transparent equity and derivatives markets, one of Europe’s leading electronic fixed income trading markets and is the largest centre for debt and funds listings in the world. Its total product offering includes Equities, FX, Exchange Traded Funds, Warrants & Certificates, Bonds, Derivatives, Commodities and Indices. The Group provides a multi-asset clearing house through Euronext Clearing, and custody and settlement services through Euronext Securities central securities depositories in Denmark, Italy, Norway and Portugal. Euronext also leverages its expertise in running markets by providing technology and managed services to third parties. In addition to its main regulated market, it also operates a number of junior markets, simplifying access to listing for SMEs. For the latest news, go to euronext.com or follow us on Twitter (twitter.com/euronext) and LinkedIn (linkedin.com/euronext). 

About MTS

MTS is the market operator of major fixed income trading platforms for European rates, money markets, and swaps participants, facilitating daily transaction volumes of more than €160 billion. For over 35 years, MTS has supported the European fixed income market by bringing traders together to unlock liquidity, maximise trading opportunities, and optimise post-trade processes. As a one-stop shop, our cutting-edge trading solutions and market data meet the ever-changing requirements of buy- and sell-side organisations across a wide range of instruments, order types, and access methods. MTS is part of the Euronext Group, the leading pan-European market infrastructure provider

About Wematch.live

By digitising workflows, Wematch.live helps financial institutions tackle some of their biggest challenges including automation, cost, API integration, productivity, compliance, and conduct risks.  With a presence in London, New York, Paris, Tel Aviv, and Singapore, our award-winning digitally native platform enables the matching of interest on financing structures, optimises workflow around trades, and drives more efficient communications internally and externally. We work in lockstep with financial institutions to develop solutions that fit their needs precisely, and from which the entire Wematch.live client community can benefit. Wematch.live is available either as a standalone product or on regulated trading venues as required by clients: our platform enables buy- and sell-side firms to connect to over 900 traders and 90 institutions to better exchange pre-execution, negotiation, and post-trade transaction data. We drive profitability for financial institutions through next-level efficiencies including cost and time savings and significantly enhanced productivity