The sell-side giant completed the transaction with a buy-side firm that accessed the algo strategies of dealers on Bloomberg’s FIT offering.
Morgan Stanley and “a leading buy-side firm” have completed a U.S. Treasury trade using Bloomberg’s U.S. Treasury (UST) Dealer Algos, which offer buy-side clients access “to wide pools of liquidity usually available only on dealer-to-dealer trading platforms,” officials say.
Beyond Morgan Stanley, the new UST Dealer Algos are supported by Citi, JPMorgan, and RBC Capital Markets while additional dealers are expected to offer Bloomberg’s new solution this year, officials say.
“The Bloomberg UST Dealer Algos solution enables clients to access the algo strategies of dealers on Bloomberg’s Fixed Income Trading (FIT) offering,” Bloomberg explains.
“Dealer algos offer clients the opportunity to execute larger size trades, at tighter pricing, with a reduced market impact. Bloomberg’s key interfaces, BLOT <GO> and TSOX <GO> allow clients to monitor execution slices in real time and adjust algo parameters, enabling enhanced trader control,” officials say. “Bloomberg FIT is seamlessly integrated with Bloomberg AIM and Bloomberg TOMS, and clients of these solutions can also benefit from the new offering.”
“Expanding our client offering through UST Dealer Algos aligns with the natural evolution of the markets, enabling us to meet client needs by delivering greater efficiency in executing US Treasuries,” says Adam Peralta, head of U.S. rates e-trading at Morgan Stanley, in a prepared statement. “We are committed to meeting our clients’ needs while staying at the forefront of technological developments in the U.S. Treasury markets.”
“We are excited to collaborate with Bloomberg to provide broader access to our new Rates algos,” says Jamie Mortimore, global head of rates e-trading at Citi.
“Clients are looking for differentiated ways to access liquidity and our goal is to continue to be a leader in providing electronic solutions to clients across all Macro products,” says Tonia Steck, managing director, head of U.S. institutional rates and North American FX sales at RBC Capital Markets, in a prepared statement.
The launch of UST Dealer Algos follows the debut of Bloomberg’s FitStreams solution for U.S. Treasuries, which helps traders view and trade on multiple customized, bilateral prices per instrument, officials say.
Bloomberg’s Electronic Trading Solution (ETS) offerings are used by more than 9,000 client firms to access liquidity across asset classes from over 1,500 dealers globally, officials say.
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