IPC’s Ganesh Iyer, Director of Global Product Marketing, Financial Markets Network, recently joined Steve Mickle, Director for ETF Trading Solutions at WallachBeth Capital for a joint interview with Fixed Income Desk magazine on exchange-traded funds (ETFs) and the importance of having reliable global connectivity.
Among the key points, were:
“Today we have all-to-all trading in fixed income, but also other types of trading protocols that are quite common. And fixed income ETFs are one solution to fragmentation in the market place due to their liquidity characteristics, diversification benefits and also the ease of trading and price transparency,” says Iyer.
“Electronic and voice connectivity to an established ecosystem of counterparties and liquidity venues is crucial for ETFs,” continues Iyer, “since they trade simultaneously in a number of liquidity venues and firms often arbitrage price dislocations amongst markets where an ETF is traded.”