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Last updated on April 21, 2014 at 1:20 EDT

Banks to Define Global Standard for Client Enablement on Electronic Markets

March 26, 2013

LONDON, March 26, 2013 /PRNewswire/ –

New open protocol to allow the automated exchange of dealer to client trading
relationships amongst market participants

Today, a new Working Group of leading sell side banks has been established to engage
with execution venues and other stakeholders to create an open industry standard protocol
for client and trader enablement on electronic trading platforms.

The members of the working group known as the Trading Enablement Standardization
Initiative (TESI) include: BNP Paribas, Commerzbank, Credit Suisse, Goldman Sachs, J.P.
Morgan, RBS, Societe Generale and UBS as well as others and are supported by Etrading
Software Limited (“Etrading Software”).

The first goal of the Working Group is to ensure the smooth migration of swaps trading
onto Swap Execution Facilities by streamlining the enablement of clients onto the new
platforms. The scope will also extend to other OTC cash and derivative markets in later
phases.

The adoption of the new standards will realize the following benefits to the industry:

        - Faster client enablement
        - Increased operational efficiency
        - Reduction in STP failures
        - Help meet more stringent operational regulatory requirements

“BNP Paribas fully supports the aim of creating a global standard for client
enablement on electronic trading platforms. This initiative demonstrates BNP Paribas’
commitment to providing the best possible customer experience on our electronic trading
offerings,” Jack Utley, Global Head of Electronic Client Solutions, BNP Paribas.

“While the trading flows in electronic markets have been automated for some time now,
the processes for enabling clients have remained highly manual. The adoption of automation
standards by the industry will allow for the improvement of client service, controls and
efficiency. This development is particularly timely given the increased regulatory demands
on electronic trading infrastructure,” Simon Maisey, Global Head of Rates eCommerce, J.P.
Morgan.

“This initiative will dramatically change the way banks and execution venues enable
clients for electronic trading,” says Sassan Danesh, Managing Partner at Etrading
Software. “The new protocol will allow dealers and electronic execution venues to provide
their buy-side clients with a faster, higher quality enablement process. The initiative is
perfectly timed to meet the requirements of swaps trading on SEFs, as mandated by
Dodd-Frank.”

Over the coming days the Working Group will engage with leading SEFs and execution
venues to participate in a collaborative process to create the standard as well as
liaising with standards organisations in order to migrate the governance for the new
specifications to the appropriate standards bodies as quickly as possible.

About the Working Group Members:

The working group members consist of the leading sell-side banks within the fixed
income markets and include: BNP Paribas, Commerzbank, Credit Suisse, Goldman Sachs, J.P.
Morgan, RBS, Societe Generale and UBS

About Etrading Software Limited:

        - Established in 2004, Etrading Software is a technology services company
          with a mission to facilitate industry change, by enabling collaboration amongst the
          capital markets community.
        - Etrading Software's services include performing the role of a trusted
          facilitator for technical initiatives involving groups of banks, with a special focus
          on trading systems and market connectivity

For banks and execution venues wishing to learn more about participation in the
initiative, please contact:

        Sassan Danesh
        Etrading Software Limited
        sassan.danesh@etradingsoftware.com

SOURCE Etrading Software Ltd and TESI Working Group


Source: PR Newswire