My thanks to you all – with your active participation, CurveGlobal is now delivering record volumes and open interest on an almost daily basis.
In January, open interest hit a new high of 429,385, while Three month SONIA averaged 52.46% of the daily volume from 24-30 January.
But why are folks engaging? Partly, it’s because critical mass takes time to build. To get to this point, one of the key things we’ve tried to do is listen to you, our customers – your problems and how we can help. You could call it old-fashioned, but we actually hear what you are telling us and try to respond. That’s a key reason more people are joining the CurveGlobal platform.
Here are some more specific reasons:
Better pricing: an active block market, where folks can trade at a mid point between bid and offer. See Ian’s piece below.
Appropriate margin: the ability to offset futures vs futures and futures vs swaps at LCH for a risk-appropriate margin.
Execution and data costs: lower clearing and execution fees, and no data charges.
Of all these benefits it’s hard to pick a single growth driver, but if you take the growing numbers of futures and interdealer brokers able to source liquidity in CurveGlobal futures, and add block pricing and better, cheaper execution – you get the picture.
The consistent order book quality has led a number of firms to deploy smart order routers (SORs), where they can trade a position in CurveGlobal or another exchange at any time based on price. Fidessa is the latest firm to release an SOR to enable best prices to be traded, joining a number of vendors/in-house SORs in automating trading across different futures venues.
I think 2019 is going to be a good year for you as we help solve more problems and build an even deeper liquidity pool. Watch this space.