26 September 2016
London
Reporter: Drew Nicol

ICAP and MTS add Spanish repo index


ICAP’s global fixed income trading platform BrokerTec has partnered with MTS, a European fixed income platform, to add a Spanish repo index to its RepoFunds Rate (RFR) indices.

RFR offers series of daily European indices covering the German, French, Italian and pan-Europe repo markets.

According to ICAP, each RFR index accurately reflects the effective cost of repo funding for trades executed on the BrokerTec and MTS electronic trading platforms.

The RFR, which launched in 2012, is based on four guiding principles: it is trade backed; has a transparent methodology; is replicable with repo transactions; and has independent governance and trade sources.

It follows the IOSCO principles for financial benchmarks and was developed to be the first index to fully reflect the effective cost of secured funding in key eurozone countries.

The addition of the Spanish repo index follows the introduction of sterling repo index rate in April 2016 for UK gilt repo.

Daily trading volumes sit at €230 billion per day between the two groups.

Oliver Clark, head of product at MTS, said: “We continue to explore innovative solutions for our clients and the wider market, and the RFR Spain is the next step in the evolution of the RepoFunds Rate suite. The RFR Spain recognises the significance of the repo market as a key indicator of the secured cost of funding in Spain.”

John Edwards, managing director for BrokerTec Europe, said: “Spain has a sizeable and significant repo market and a major portion of this is transacted via the BrokerTec platform, with volumes regularly exceeding €20 billion per day in nominal terms and support from both domestic and international counterparties.”

More repo news
The latest news from Securities Lending Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
ICMA updates European repo guidelines
21 December 2017 | Paris | Reporter: Zsuzsa Szabo
ICMA’s IRCC has updated its guide for best practice in the European Repo Market
NSD working with Sberbank on triparty repo transactions
08 December 2017 | Moscow | Reporter: Zsuzsa Szabo
Sberbank is using the National Settlement Depository (NSD), Russia’s central securities depository (CSD), to provide collateral management services for interdealer repo transactions, backed by NSD’s triparty services
Nex sees EU and US repo boost
04 December 2017 | London | Reporter: Jenna Lomax
Nex Group reported a 25 percent increase to its European repo activity in November, and a 5 percent increase to its US repo activity for the same period
OFR adds repo to securities financing data collection
28 November 2017 | London | Reporter: Drew Nicol
The Office of Financial Research is set to expand its data collection of securities financing transactions to include bilateral and cleared repo, with the first report expected in the first half of 2018
HKMA expands list of eligible collateral to include US dollar
08 November 2017 | Hong Kong | Reporter: Jenna Lomax
The US dollar denominated bonds were first issued in Hong Kong by the Ministry of Finance of the People’s Republic of China on 2 November
NEX Group sees EU and US repo boost
02 November 2017 | London | Reporter: Jenna Lomax
Nex Group achieved a 30 percent increase to its EU repo activity in October
Nigerian repo activity suffers in September
23 October 2017 | Abuja | Reporter: Jenna Lomax
Nigeria’s FMDQ OTC Securities Exchange’s repo activity was valued down 41.7 percent in September compared to the previous month