The Gateway to Algorithmic and Automated Trading

SSGA and Bloomberg expand access to fixed income ETF creation & redemption

First Published 19th December 2016

State Street Global Advisors and Bloomberg announce enhancements to Bloomberg's Fixed Income ETF Basket service.

Tim Coyne, SSGA

Tim Coyne, SSGA

Boston - Bloomberg's BSKT tool automates the process of gaining access to liquidity necessary to create and redeem fixed income ETFs, and integrates functionality from across the Bloomberg Terminal, including Bloomberg's Trading Solutions Order Execution (TSOX), Portfolio Analytics and Risk (PORT) and Fixed Income Trading (FIT) solutions.

The enhancement aims to improve the efficiency of fixed income ETF basket creation and redemption by enabling dealers to proactively provide existing bond inventory from which providers can create targeted baskets.

"During the first nine months of 2016, investors have added more than $77bn of net new inflows into bond ETFs, which underscores the demand for increased liquidity and transparent exposure in the fixed income markets," explains Tim Coyne, head of Institutional Sales and Global Capital Markets for SPDR ETFs at SSGA. "In offering clients improved access to the benefits of Fixed Income ETFs, these innovations give portfolio managers more choices and flexibility to customise their bond exposure."