TL;DR:
- Ediphy launches Liquidity Checker, an AI tool for evaluating bond liquidity in fragmented fixed income markets.
- Users can create personalized watchlists and receive real-time notifications of liquidity shifts.
- The tool suggests alternative options if chosen bonds lack liquidity and recommends similar bonds based on reference and market data.
- Ediphy’s graph technology and robust data analytics enhance execution success and streamline trading processes.
- This follows the launch of Ediphy Credit, which combines data, analytics, venue connectivity, and order routing to improve credit market access.
Main AI News:
Ediphy, a leading player in the financial technology landscape, has introduced an innovative artificial intelligence (AI) tool designed to address the challenges posed by market fragmentation in the fixed income arena. The groundbreaking solution, known as Liquidity Checker, empowers users to assess the liquidity of bonds using a personalized watchlist, receiving real-time notifications regarding liquidity fluctuations.
By leveraging advanced algorithms and machine learning capabilities, the Liquidity Checker scans the market for optimal trading opportunities aligned with users’ selected instruments. If the liquidity of their chosen bonds appears limited, the tool offers users the option to explore alternative avenues, broadening their search for potential liquidity.
One of the key features of this cutting-edge tool is its “smart search” function, which draws on vast reference and market data to recommend similar bonds that align with the user’s portfolio. This intelligent approach provides traders and portfolio managers with valuable insights, enhancing their execution success rates.
Chris Murphy, CEO of Ediphy, commented, “With our Liquidity Checker, Ediphy is propelling fixed income execution to new heights by equipping traders and portfolio managers with the necessary tools to improve their execution success. By harnessing the power of our graph technology, robust data analytics, and deep market experience, market participants rely on Ediphy to promptly notify them of optimal market conditions. This streamlines their trading process, saving time and effort, while maximizing execution success and mitigating the risks associated with illiquid trades.”
Notably, this is Ediphy’s second foray into the realm of bond liquidity within a span of less than a year. Their earlier endeavor, Ediphy Credit, launched in October 2022, effectively combines data, analytics, venue connectivity, and order routing capability to enhance traders’ access to liquidity in the credit markets. By reducing the time spent on manual tasks involved in the price discovery process, Ediphy Credit has proven instrumental in facilitating smoother trading operations.
Conclusion:
The introduction of Ediphy’s Liquidity Checker represents a significant advancement in the assessment of bond liquidity. The tool’s ability to provide real-time notifications, suggest alternative options, and recommend similar bonds based on data analytics empowers traders and portfolio managers. This innovation is poised to enhance execution success, streamline trading processes, and mitigate risks associated with illiquid trades. With Ediphy’s continuous drive for financial technology innovation, the market can expect improved efficiency and success in navigating bond liquidity challenges.
