|TradeWeb Launches Online Commercial Paper Market
Official Launch Follows Two-Month Live Test by Leading Dealers and Investors
NEW YORK, Aug. 1 /PRNewswire/ -- TradeWeb LLC, the leader in online fixed-income markets, today announced the official launch of its online commercial paper (CP) marketplace. The launch follows a two-month beta test during which seven dealers and forty institutional investors traded over $320 billion of commercial paper.
The TradeWeb CP market is anchored by the industry's leading commercial paper dealers, which together account for as much as 80% of the daily volume of dealer-placed commercial paper. The initial dealer group includes Credit Suisse First Boston, Deutsche Banc Alex.Brown, Goldman Sachs, Lehman Brothers, Merrill Lynch, Morgan Stanley and Salomon Smith Barney.
The TradeWeb CP market is the first multi-dealer, commingled commercial paper marketplace for institutional investors. TradeWeb CP users will be able to view offerings and live pricing from all participating dealers on one screen, and initiate trade inquiries directly to the dealers. The TradeWeb CP product is designed to provide users with significant flexibility and simplicity in negotiating and executing transactions.
``The TradeWeb CP marketplace will link the content and liquidity of the leading dealers of commercial paper to their institutional customers using our proven technology,'' said Jim Toffey, President and CEO of TradeWeb. ``The launch of TradeWeb CP is another major step toward our objective of providing our dealers and their clients with a full range of fixed-income products on a single, global trading network.''
The TradeWeb CP market is the company's fifth online marketplace, following U.S. Treasuries and Agencies, Euro Sovereigns, and TBA mortgage pass-through securities (TBA-MBS). TradeWeb's online markets are based on proprietary trading technology that was launched for the Treasury market in early 1998, and has been constantly refined during the past three years as new markets are added to the TradeWeb platform.
Feedback from institutional investors who participated in the two-month CP beta test program is extremely positive.
``This will revolutionize the CP market,'' said Brian Andersen of Northern Trust Global Investments.
``TradeWeb is an extremely flexible platform for trading commercial paper,'' noted Michael Katz of Allstate Insurance.
``The TradeWeb CP search engine takes the hassle out of sifting through dealer postings to find commercial paper offerings that I can use,'' commented Wendy Fletcher of Banc One Investment Advisors.
|Headquartered in New York, TradeWeb LLC is the leader in online fixed-income markets with more than 1,000,000 trades executed and total volume exceeding $5 trillion since inception in 1998. TradeWeb's multi-dealer trading model links 16 of the world's leading dealers of fixed-income securities with more than 800 buy-side institutions in North America and Europe. In addition to commercial paper, the company's technological platform is utilized by clients to trade U.S. Treasury and agency securities, euro-sovereign debt securities and TBA mortgage-backed securities. For more information on TradeWeb, please visit the company's website at http://www.tradeweb.com.