Distinguishing between investment grade (IG) and high-yield (HY) corporate bonds was labelled a key component to tap into greater transparency in more liquid bonds.
Why T+1 settlement in the US is causing a trading drought on a Thursday.
Following a spike in volatility due to the coronavirus pandemic, Hayley McDowell looks at how bond traders handled the changing market environment amid research suggesting e-trading fell apart in some markets.
Study from ICMA suggests that corporate bond traders were forced to revert back to voice trading at the height of the recent market volatility.
ICMA research found that while demand for repo increased, dealers’ capacity to intermediate was constrained and limited access to many firms that needed it.
Trade associations have said cash bond markets should be excluded from initial rollout of the CSDR buy-in regime until the regulation’s impact on liquidity is fully assessed.
Both buy- and sell-side firms agree the mandatory buy-in regime will have significant negative implications on Europe’s capital markets.
Asset managers have expressed concerns that the CSDR mandatory buy-in regime will impact liquidity and increase costs.
Martin Egan has been elected as chairman of ICMA and will replace Spencer Lake.
ICMA stresses importance of market making in illiquid bond markets and urges capital relief to encourage the model.