DMIST Proposes New Standard for Streamlining Position Transfers in Derivatives Markets

The Derivatives Market Institute for Standards (DMIST), an independent body established by FIA in July 2022, has released its third proposed standard, targeting the automation of position transfers in exchange-traded derivatives markets. This initiative seeks to enhance operational efficiency and resiliency while mitigating regulatory and operational risks associated with the current predominantly manual process.

The proposed “Standard Regarding Position Transfers” addresses the movement of open positions between accounts within the same clearing firm or across different firms. Such transfers are critical for risk management, margin optimisation, portfolio balancing, and adapting to changes in ownership due to mergers and acquisitions.

DMIST has initiated a consultation period open to all industry stakeholders, running until 21 March 2025, with a finalised standard expected by the end of Q2 2025. Comments can be submitted via DMIST’s website, with all feedback publicly accessible. This standard marks a pivotal step towards automating position transfer workflows, promising improved communication between clearing members and clients.

BlockFills Partners with Revelate to Enhance Crypto Data Distribution

Revelate, the secure data marketplace platform provider, has partnered with BlockFills, a provider of digital asset trading solutions. Through the collaboration, BlockFills will leverage Revelate’s platform to automate and scale the delivery of its crypto-enriched data products, including Reference Rates and Aggregated Book Data. The integration aims to provide institutional clients with seamless access to high-quality, data-driven crypto insights.

As demand for robust crypto data continues to grow among institutional investors, BlockFills is expanding its offerings with additional solutions. By adopting Revelate’s data-sharing technology, BlockFills aims to streamline its distribution processes, ensuring secure, efficient, and scalable delivery to meet the evolving needs of its clients.

Nick Hammer, CEO of BlockFills, commented: “Our clients demand the highest quality digital asset data to inform their trading strategies. Our partnership with Revelate allows us to meet this demand with greater efficiency. By adding to the distribution of our crypto-enhanced data, we are delivering a seamless experience that aligns with the exacting standards of institutional investors.”

Marc-André Hétu, General Manager at Revelate, added: “We’re excited to support BlockFills in optimizing the distribution of its in-depth data offerings. Revelate’s platform is designed to enable secure, scalable data sharing, helping organizations like BlockFills provide its clients with the insights they need to thrive in the digital asset markets.”

Canton Network and Digital Asset Partner to Revolutionise Crypto Derivatives Collateral Management

The Canton Network, in collaboration with Digital Asset, QCP, and select counterparties, has launched a project to introduce an advanced on-chain collateral and margin management solution for bilateral derivatives. The initiative leverages the Canton Network’s robust privacy features to address inefficiencies in the crypto derivatives market, which suffers from over-collateralisation and the high costs associated with tri-party agents.

Key features include smart contract-based collateral agreements that comply with ISDA CSA margin requirements, automated workflows, real-time access to a shared ledger, and tokenised collateral pledging. The solution enhances operational efficiency while preserving transaction privacy by restricting access to sensitive data. Benefits for market participants include 24/7 on-demand margining, shorter margin cycles, and integration of stablecoins and real-world assets within the Canton Network.

Georg Schneider, Head of Financial Products at Digital Asset, commented: “This collaboration underscores Digital Asset’s dedication to revolutionizing market infrastructure through innovative, blockchain-powered solutions within the Canton Network. We are excited to bring privacy to on-chain collateral management, which will allow for the automated flow of funds between counterparties in a secure way without publicly disclosing open derivatives positions.”

Darius Sit, Founder and CIO at QCP, added: “We are excited to spearhead this initiative with the Canton Network to redefine the future of derivatives markets. Its unique ability to deliver privacy forms the foundation for a groundbreaking global collateral network, enabling seamless and secure connections across trading venues, brokers, investors, and FMIs. By addressing inefficiencies in collateral management, this initiative reinforces our commitment to providing clients with trusted, efficient, and scalable solutions that redefine market standards.”

Novobanco Expands Nasdaq Calypso Partnership to Streamline Capital Markets Operations

Novobanco and Nasdaq have announced the expansion of their long-standing technology partnership, with the Portuguese bank adopting Nasdaq’s Calypso platform to fully support its capital market operations. Having utilised Calypso for back-office processing for nearly two decades, Novobanco will now integrate its risk management and front-office functions into the system. This move aims to enhance operational efficiency, agility, and data transparency across the bank’s treasury workflows.

The Nasdaq Calypso platform, deployed in the cloud, offers a multi-asset trade management solution that automates trading, clearing, risk management, and post-trade processing. By expanding its use of the platform, Novobanco aims to benefit from real-time decision-making capabilities, enhanced risk analytics, and seamless global connectivity through standardised APIs. This integration aligns with Novobanco’s ongoing transformation strategy to simplify its operations, improve IT efficiency, and strengthen its client-centric approach.

Nuno Duarte, Head of Treasury and Finance of Novobanco, commented: “Consolidating our treasury function onto a single platform marks another major step in our journey to position ourselves as an independent, strong, and successful Portuguese bank,” said. “By streamlining our infrastructure and enhancing the efficiency of our operations, we are better positioned to deliver a more personal, customer-centric experience to our clients, while supporting sustainable growth. We welcome the opportunity to expand our relationship with Nasdaq and view them as a strategic partner in our transformation.”

Gil Guillaumey, Senior Vice President of Capital Markets Technology at Nasdaq, said: “European banks are on an extraordinary modernization journey and the decision to consolidate Novobanco’s capital markets infrastructure underscores the bank’s commitment to innovation and superior client services. Through this partnership, Novobanco gains the flexibility and scalability required to meet new industry standards, navigate regulatory changes, and capitalize on new growth opportunities. This marks a significant milestone in the bank’s ongoing transformation.”

Trading Technologies Launches TT Broker Scorecard to Enhance Trade Cost Analysis

Trading Technologies has introduced TT Broker Scorecard, a monthly report ranking global and regional equity brokers by liquidity and execution quality. The rankings are based on anonymised trade data from Abel Noser Solutions, which TT acquired in 2023. This new tool aims to provide buy-side market participants with insights into broker performance across various market segments, while enabling sell-side firms to identify their strengths and areas for improvement.

TT Broker Scorecard is accessible through Trade Zoom, Abel Noser Solutions’ transaction cost analysis (TCA) platform, allowing users to review historical trade data and drill down for more detailed insights. The new offering builds on TT’s expansion in TCA services, including the recent rollout of TT Futures TCA, providing granular trade data analysis for futures markets.

Peter Weiler, EVP Managing Director, Data & Analytics at TT, commented: “In today’s ultra-competitive environment, the buy side is increasingly trying to find liquidity in highly concentrated markets, while the sell side is seeking ways to protect and grow market share. TT Broker Scorecard will help firms on both sides uncover distinct business advantages by leveraging the massive universe of data that flows through our market-leading TCA platform. Our buy-side clients can find the counterparties that are most active in specific regions, countries, capitalizations, sectors and other segments. Sell-side brokers can identify and promote where they offer the most liquidity while establishing where they should focus on growing, leapfrogging competition or maintaining market share.”

ION Achieves Independent Software Vendor Status for Algorithmic Trading on BSE

ION has been registered as an Independent Software Vendor for algorithmic trading on the Bombay Stock Exchange (BSE). This registration enables BSE members to use ION’s Fidessa trading platform for algorithmic trading on the exchange.

Following its earlier approval as an equities trading vendor on BSE in June 2024, ION’s certification affirms Fidessa’s compliance with the exchange’s rules and regulatory standards. The platform offers an integrated suite of algorithms, supporting real-time performance monitoring and automated workflows to optimise trading operations. With over 55% of trades in India driven by algorithmic trading, Fidessa’s solution aims to enhance efficiency and reduce costs for market participants.

Robert Cioffi, Global Head of Equities Product Management at ION Markets, commented: “As a registered vendor on BSE, ION now offers seamless access to advanced algorithmic trading capabilities, fully integrated within the Fidessa trading platform. India remains a key strategic market for ION and this empanelment enhances our ability to meet the region’s evolving needs. We are proud to contribute to the growth of Indian capital markets by enabling cutting-edge algorithmic trading.”

Sandeep Sabnani, Product Strategy and Growth, Equities at ION Markets, added: “ION’s registration as a vendor for algorithmic trading on BSE is a significant step forward, demonstrating the trust and confidence in our Fidessa platform. This achievement reinforces our dedication to providing market participants with advanced technology solutions tailored to the needs of the Indian capital markets.”

Founded in 1875, BSE is Asia’s oldest stock exchange, providing a key platform for capital raising and hosting over 5,700 listings.

S&P Capital IQ Pro Expands Fixed Income Coverage with 4.6 Million New Municipal Securities

S&P Global Market Intelligence has added 4.6 million municipal securities to its S&P Capital IQ Pro platform, increasing total municipal market coverage to nearly 6 million securities. The update includes enriched data such as liquidity scores, end-of-day pricing, bond schedules, and enhanced terms and conditions. These additions aim to improve risk assessment, market liquidity insights, and portfolio management for investors and issuers.

The platform enhancements follow S&P Global’s merger with IHS Markit in 2022. Other recent updates to S&P Capital IQ Pro include the launch of Document Intelligence, an AI-powered document analysis tool integrated with ChatIQ, and the expansion of IQ Newsletters to provide mid-day market summaries for the U.S., Europe, and Asia. Powered by generative AI, these newsletters keep users informed with real-time news and insights.

Bank of Hangzhou Implements Murex’s FRTB Solution to Meet China’s New Regulatory Standards

The Bank of Hangzhou has expanded its use of Murex’s MX.3 platform by implementing the Fundamental Review of the Trading Book (FRTB) solution using the Standardized Approach (SA). This move ensures compliance with the updated market risk capital rules set by China’s National Financial Regulatory Administration (NFRA), which adopted Basel Committee guidelines in November 2023.

The bank initially deployed MX.3 in 2021 to manage capital markets activities across front-office, back-office, and risk functions. Following a detailed evaluation, the bank selected Murex’s preconfigured FRTB-SA solution to meet the January 2025 compliance deadline. The integration was completed in eight months, streamlining risk management processes and reducing manual reconciliation efforts.

Murex leveraged its experience from over 40 FRTB projects to assist in the implementation. The seamless integration of the FRTB solution with the existing MX.3 platform has enhanced the bank’s operational efficiency, improved model validation, and accelerated the launch of new products, positioning the bank for future growth in a more stringent regulatory environment.

Snowflake Opens Regional Headquarters in Saudi Arabia

Data cloud giant Snowflake has opened a Middle East regional headquarters in the Saudi Arabian capital Riyadh.

The company said it would serve the wider Middle East from the new office, taking advantage of the kingdom’s Vision 2030 programme of modernising its tech base.

ClearToken Joins Bank of England’s Digital Securities Sandbox

ClearToken, the clearing house for digital markets, has been accepted into the Bank of England’s Digital Securities Sandbox (DSS), marking a significant milestone in its journey to becoming a Digital Securities Depository (DSD). The DSS, overseen by the Bank of England and the Financial Conduct Authority (FCA), provides a regulatory framework for testing innovative technologies in a live environment. ClearToken’s successful passage through “Gate 1” demonstrates its commitment to developing the financial market infrastructure (FMI) essential for the evolution of digital asset and tokenisation markets, according to the company.

ClearToken emphasises the importance of robust legal and regulatory systems in enabling market stability, settlement finality, and the institutional adoption of digital assets. Looking ahead, ClearToken will continue testing its DSD platform and shortly plans to release a white paper on the regulatory impacts of a DSD on digital asset markets.