Charles River and LedgerEdge collaborate on DLT-enabled credit liquidity and trading services

Dan Barnes

Charles River Development, a State Street Company, is collaborating with distributed ledger bond market specialist LedgerEdge, to provide investment firms with access to corporate bond liquidity from the LedgerEdge ecosystem via the Charles River Inventory Hub and Order and Execution Management System (OEMS).

LedgerEdge leverages distributed ledger technology (DLT) to support institutional-grade trading services and protocols in the US$41 trillion global corporate bond market. Its system is designed to help clients exercise full control of their data and get greater clarity into available liquidity, counterparties and execution quality.

Charles River’s Inventory Hub delivers an aggregated view of liquidity that can help firms reduce execution costs and facilitate price discovery. Traders can view inventory in the OEMS, receive updated indications of interest and quotes, and place orders for a full range of products.

David Nicol, CEO, LedgerEdge.

“As we launch our platform, we are delighted to be partnering with Charles River in delivering an integrated trading workflow that can support analytics and transaction cost analysis to help inform traders managing complex, high touch trades,” said David Nicol, CEO and co-founder of LedgerEdge. “Our mission at LedgerEdge is to transform trading, and this collaboration with a leading OEMS provider helps deliver on that promise.”

Michael Beattie, director of Product Strategy at Charles River Development.

“We are excited to collaborate with LedgerEdge, providing our clients with access to innovative new trading protocols, improved data governance and ownership, and better visibility into trading decisions,” said Michael Beattie, director of Product Strategy at Charles River Development. “As corporate bond markets continue to grow in size and complexity, accessing liquidity from the LedgerEdge ecosystem will help clients contain trading costs and reduce information leakage while gaining deeper insight into the venues, brokers and liquidity providers they interact with.”

LedgerEdge has developed to enable traders to describe the conditions under which an order will be revealed, adding logic to assess potential matches. This has been developed to help reduce market impact and target where liquidity is displayed.

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