CME Group to create unified NDF trading venue
11 December 2023 US
Image: Alfazet_Chronicles/stock.adobe.com
CME Group looks to combine the firm’s two non-deliverable forward (NDF) liquidity pools on the EBS Market platform onto a single trading venue in October 2024.
The Chicago-headquartered derivatives marketplace says the combination will bring market participants across regulatory jurisdictions into a unified global trading environment.
Subject to regulatory approval, the move aims to support improved market efficiency and to enhance EBS's role as a source of centralised liquidity and price discovery in NDFs.
CME Group says the EBS Market was the first venue to offer electronic NDF trading on a central limit order book in 2007.
Customers have the ability to trade 1-month Asian NDFs, LatAm NDFs and African NDFs on the platform.
Paul Houston, global head of FX products at CME Group, says: “Amid continued fragmentation and rising complexity within the global foreign exchange market, the need for a unified, globally accessible primary trading venue in NDFs is greater than ever.
“Combining our two NDF trading platforms will improve access for participants around the world while expanding liquidity, improving price discovery and providing operational efficiencies for the marketplace.”
The Chicago-headquartered derivatives marketplace says the combination will bring market participants across regulatory jurisdictions into a unified global trading environment.
Subject to regulatory approval, the move aims to support improved market efficiency and to enhance EBS's role as a source of centralised liquidity and price discovery in NDFs.
CME Group says the EBS Market was the first venue to offer electronic NDF trading on a central limit order book in 2007.
Customers have the ability to trade 1-month Asian NDFs, LatAm NDFs and African NDFs on the platform.
Paul Houston, global head of FX products at CME Group, says: “Amid continued fragmentation and rising complexity within the global foreign exchange market, the need for a unified, globally accessible primary trading venue in NDFs is greater than ever.
“Combining our two NDF trading platforms will improve access for participants around the world while expanding liquidity, improving price discovery and providing operational efficiencies for the marketplace.”
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