BondDesk announced Monday a partnership with Trade West Systems that creates a “retail supermarket for bonds” giving investors broader access to individual bond sales via third-party platforms that compete with the BondDesk automated trading system (ATS).
BondDesk, which executes roughly one-third of all retail bond trades, is enlarging its clients’ access to bonds using a data automation solution from Trade West Systems, a division of MarketAxess Technologies Inc.
“The crucial innovation here is that we’re extending what we have always done to include the inventory from competing platforms,” said Chris Shayne (left), senior market strategist with BondDesk, in an interview with AdvisorOne. “Now, we are not only aggregating inventory from dealers with whom we have our own relationships, we are aggregating inventory from other ATS platforms that do exactly what we do. So if you’re a distributor from Wells Fargo or Raymond James and you’re using BondDesk to source your bonds, now the number of bonds at your disposal has gone to the maximum of what is available.”
The BondDesk-Trade West solution is available to the dealer community effective immediately but is not mandatory. “It’s only for our clients who want to opt in,” Shayne noted.
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BondDesk brings “the best possible markets” to financial advisors by reducing fragmentation and increasing transparency across the retail fixed-income market,” said BondDesk CEO Kim Bang in a statement. “By in effect creating a retail supermarket for bonds, ATS aggregation will provide our clients the widest possible range of fixed income offerings and liquidity.”