Neptune sponsors set up company to run the open standard utility
The collaborative effort – Project Neptune – makes further progress
Neptune, the open standards network for pre-trade indications in bond markets, has set up a new company, Neptune Networks Ltd, to run the utility.
Neptune was formulated by Etrading Software and a group of 40+ banks and asset managers in H2 2014. The pilot production network went live in August 2015.
Its supporters include Barclays Bank, BBVA, BNP Paribas, Commerzbank, Credit Suisse, Goldman Sachs, HSBC, ING, JP Morgan, Santander, Société Générale and Unicredit.
Neptune uses “the open FIX standard to minimise connectivity costs”, “a robust data governance model for all users to minimise unintended information leakage” and a simple set of connectivity pipes, says Etrading.
17 dealers are currently connected to the system distributing over $70 billion of gross notional and 13,000 structured pre-trade indications across 8,500 ISINs to their clients.
The network focuses on the European investment grade and high-yield corporate bonds as well as emerging markets and covered bonds, across twenty different denominations.
Etrading says the board of Neptune Networks Ltd will comprise members of the banks and asset managers involved in Neptune since its inception. “Neptune recognises the importance of joint buy-side and sell-side governance to best meet the challenges in the industry,” Etrading states.
Grant Wilson, managing partner at Etrading, will be interim CEO.
