Tullett and Trad-X in talks for swap reference JV

摘要

Interdealer brokers Tullett Prebon and Trad-X are in talks about collaborating in the . production of mid-swap reference prices, used daily by syndicate desks to benchmark yields on new bonds. The firms are discussing pooling liquidity in Europe in a bid to dislodge ICAP's grip on mid-swap reference pages, and are set to sign a memorandum of understanding in the coming weeks. "The market has become aware that those firms are talking," said a source with knowledge of the situation. "Certainly historically ICAP has been the sole provider, but there is no reason why there should not be more competition."