Late yesterday, Bloomberg received approval from the Commodity Futures Trading Commission (CFTC) to operate a multi-asset swap execution facility (SEF) — earning us the distinction of being the first applicant to be approved.
We submitted our SEF application on the very first day possible — a feat that was recognized by Institutional Investor as a reason Bloomberg deserved the number one ranking in its annual Tech 50 list.
The decision to register as a SEF was a logical one for our company: operating a SEF enables us to offer our clients a complete solution that helps to increase markets transparency and affirms our commitment to the central tenants of Dodd-Frank.
By leveraging the core technology of Bloomberg’s existing derivative trading platforms — used by more than 1,000 global institutions — Bloomberg’s SEF will provide all Bloomberg Professional service subscribers access to multiple execution styles and liquidity across numerous asset classes including rates, credit, currency and commodity derivatives. Clients can start SEF trading later this year when the CFTC’s derivative compliance regulation takes effect.
As Ben Macdonald, global head of product at Bloomberg and president of Bloomberg SEF LLC recently stated: “While clients can continue to execute on our traditional derivative platforms until the CFTC’s mandatory compliance deadline, receiving approval ensures our readiness to provide them with everything they need to begin SEF trading on October 2nd.”
To learn more about the Bloomberg Professional service and our derivatives trading platforms, click here.