The CME Group will move NDF trading to the EBS Market platform.
CME Group will combine its two non-deliverable forward (NDF) liquidity pools on the Electronic Broking Services (EBS) Market platform onto a single trading venue by October 2024, depending upon regulatory approval, officials say.
The combination will bring together market participants “across regulatory jurisdictions” in a unified global trading environment to improve market efficiency, according to the CME Group. The move is intended to strengthen EBS’s role as a source of centralized liquidity and price discovery in NDFs.
“Amid continued fragmentation and rising complexity within the global FX market, the need for a unified, globally accessible primary trading venue in NDFs is greater than ever,” says Paul Houston, global head of FX products at CME Group, in a prepared statement.
Officials add that 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.”
A major derivatives marketplace, CME Group offers trading venues for futures, options, cash, and over-the-counter (OTC) markets. It also offers global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals.
The company also offers futures and options on futures trading through the CME Globex transaction processing platform, fixed income trading via BrokerTec and FX trading on the EBS platform. It also offers central counterparty clearing via CME Clearing.
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