Liquidnet adds trading in the South African bond market

Dan Barnes

Block and agency trading specialist Liquidnet, a TP ICAP company, is partnering with TP ICAP South Africa to support bond trading.

The firm reports more than 20 local institutions, including asset managers and pension funds who represent a significant part of liquidity in local rand denominated debt, will get access to the platform. Asset class coverage includes all South Africa government issued bonds, sovereign owned entities such as ESKOM, TRANSNET and agencies including DEVSA and INDVSA. Today, Liquidnet reports over 70% of its member community is active in trading emerging markets. Through this partnership, they can access liquidity in the South African bond market via the Liquidnet platform.

Mark Russell, global head of fixed income at Liquidnet.

Mark Russell, global head of fixed income at Liquidnet, said, “Liquidnet continues to excel in bringing market participants together. With 72% of South Africa bonds owned by domestic investors [according to the Department of National Treasury, Republic of South Africa, January 2022] we recognise the incredible value these firms will bring to the platform for the benefit of all in the Liquidnet community.”

Paul Wilson, COO of TP ICAP South Africa, added, “Trading in South Africa continues to evolve into a more diverse, international marketplace. We have a 30-year track record in the country of being one of the best liquidity providers for this market and partnering with Liquidnet will allow us to deepen our liquidity proposition and elevate the service we provide to our customers.”

Participants in Liquidnet’s emerging markets business has grown from 90 asset managers in 2018 to over 390. In addition to emerging markets government bonds in hard and local currency, coverage also extends to six local markets including Mexico, Turkey, South Africa, Czech Republic, Hungary, and Poland.

©Markets Media Europe, 2022