Bloomberg Trading Facility (BTF), the trading arm of the news and data business, has been authorised by the UK Financial Conduct Authority to operate a multilateral trading facility (MTF).27 Jul 2015
The MTF will build on Bloomberg's "established and successful trading venue capabilities" to create a platform for both interest rate swaps and credit default swaps, Bloomberg said.
The platform will allow users to request quotes and place orders, Bloomberg said.
The company is also considering adding further products for trading on the facility, it told the Financial Times.
"Bloomberg’s MTF trading platform is a key addition to the portfolio of services we are providing our clients to enable them to meet their regulatory obligations," said Jean-Paul Zammitt, chief executive of BTF.
Financial services expert Michael Ruck of Pinsent Masons, the law firm behind Out-Law.com said: "Whilst today’s news will please its rivals as Bloomberg will now be subject to the same regulatory obligations and requirements, the FCA’s recent investigations and announcements in relation to market conduct will continue to have an impact upon the cost and extent of compliance. Competition and regulatory compliance are key aspects of the FCA’s role and will impact how it monitors the ongoing compliance of Bloomberg and others in this market."
Bloomberg currently has a multi-asset class swap execution facility (Bloomberg SEF) and a swap data repository (BSDR), the company said.