GMEX Group and Tradition Announce Strategic Partnership


Global Derivatives Indices (GDI), a wholly owned subsidiary of Global Markets Exchange Group International LLP (GMEX Group), today announced a strategic partnership with Tradition, the interdealer broking arm of Compagnie Financière Tradition, to use prices from Trad-X to calculate a new USD version of GDI’s Constant Maturity Index (CMI). 



Global Derivatives Indices (GDI), a wholly owned subsidiary of Global Markets Exchange Group International LLP (GMEX Group), today announced a strategic partnership with Tradition, the interdealer broking arm of Compagnie Financière Tradition, to use prices from Trad-X to calculate a new USD version of GDI’s Constant Maturity Index (CMI). This will underpin the GMEX interest rate swap (IRS) Constant Maturity Futures (CMF) contracts.
 
Under the terms of the partnership agreement, GDI will source firm tradable bids and offers from Trad-X, Tradition’s global trading platform, to calculate a new USD-denominated weighted-average index designed to reflect the USD IRS market in real-time. Additionally, Trad-X will contribute prices to the existing GDI EUR IRS index in real-time.
 
GDI’s CMI indices are used as the basis for the Constant Maturity Futures (CMF) IRS contracts, which will be traded on GMEX Group’s soon to be launched exchange, subject to UK FCA approval. The initial launch will be focused on EUR-denominated CMF contracts, closely followed by USD.
 
“Working with Trad-X, is an important step forward because it enables us to enhance our Euro CMI underlying data, and more importantly expand our Constant Maturity Index offerings into US Dollars This in turn will facilitate the launch of our US Dollar-denominated Constant Maturity Futures (CMF) contract next year on GMEX Exchange”, said Hirander Misra, CEO of GMEX Group and Chairman of GDI.
 
“Trad-X is pleased to be providing our market leading data to the GMEX CMI. Tradition is wholly supportive of market-led initiatives that create transparency and products that the market can use for effective risk management purposes.” commented Dan Marcus, CEO of Trad-X.
 
“The CMI indices are unique in the breadth and depth of the data they use from a variety of sources. We believe that the CMI has the potential to become the industry’s most representative index of fair value for the interest rate swaps market”, added VJ Angelo, President of GMEX Group and CEO of GDI.

About Global Derivatives Indices
Global Derivatives Indices (”GDI”) is a wholly-owned subsidiary of GMEX Group.
 
About GMEX Group
Global Markets Exchange Group International LLP (“GMEX Group”) is a group of companies that offer sustainable and innovative solutions for the new era of global financial markets, encompassing:

  • Operation of an exchange for the trading of a Constant Maturity Future for Interest Rate Swaps, subject to FCA approval
  • Development of related new tradable market and product indices
  • Creation and operation of low cost electronic exchanges in equities, debt, FX, derivatives and commodities in developing and, in a targeted way, developed markets
  • Interconnectivity of exchanges to each other creating a global network of liquidity
  • Business development to enhance liquidity in partner exchange products
  • Consultancy on exchange strategy, product development, clearing and regulation
  • Provision of platform technology

GMEX Group stakeholders include Deutsche Börse AG and Forum Trading Solutions Limited through its investment vehicle.
 
For more information, visit www.gmex-group.com

photo credit: Camil Tulcan via photopin cc

Global Markets Exchange Group International LLP (GMEX Group) is an initiative in the exchange space covering the major asset classes (Equities, Derivatives, FX, Commodities and Debt), developed to help tackle the numerous problems facing global financial markets.