New multilateral trading facility, Elixium, to launch in May
Tradition, the interdealer brooking arm of Compagnie Financière Tradition, is poised to launch a new EU-regulated multilateral trading facility (MTF) for collateral and secured deposits. Dubbed Elixium, it will open for business in May this year.
“Elixium has been developed to address the growing need for a transparent, open to all, peer-to-peer, regulated marketplace,” says Tradition.
The new MTF is open to corporates, central banks, sovereign wealth funds, asset managers, pension funds, insurance companies, government institutions, hedge funds, brokers, dealers and banks.
It uses a standardised legal structure, uniform collateral schedules and an underlying credit matrix, which, assures Tradition, “allows for rapid counterparty diversification and helps spread counterparty risk to provide a solution that brings all market participants together on a fully transparent and equitable basis”.
The plan is to expand Elixium to over 40 collateral baskets covering fixed income and equities in GBP, EUR, USD, CAD and JPY, plus a range of emerging market currencies.
“Legacy trading models are no longer as relevant in today’s market as they once were,” observes Roberto Verrillo, newly-appointed chief strategy officer at Elixium. “Financial institutions are re-structuring their product offerings and businesses in light of regulatory and structural shifts in the dynamics of how markets operate. Elixium is designed as a direct result of these changes and we hope to be at the forefront of this evolving market over the coming years.”
Chief executive officer: Nick McCall
Chief strategy officer: Roberto Verrillo
Chief business development officer: Gabriele Frediani
Product development director: Nick Van Overstraeten
Special adviser: Iona J Levine, barrister and co-founder of Minerva Chambers