Bloomberg, MarketAxess and Tradeweb cancel plans for consolidated tape JV
08 December 2023 UK
Image: tiero/stock.adobe.com
Bloomberg, MarketAxess and Tradeweb confirmed that they will no longer continue with a joint venture agreement which aimed to form an independent firm, JV Company.
The venture would have ensured the participation of all three firms in a public procurement procedure to become a fixed income consolidated tape provider (CTP) in the EU or the UK.
Earlier this year in May, the firms announced that the initiative would reflect the desire of all three parties to improve the fixed income ecosystem and make a 鈥渕eaningful鈥� investment in winning the tender for the European bond CT.
Cloud-native financial data management firm FINBOURNE Technology was selected as the technology infrastructure provider to build and operate the CT for the JV Company, with regulatory specialist and industry veteran Neil Ryan set to lead the CTP initiative.
However, various developments in recent months have added further clarity to the 鈥渞isk and complexity鈥� of delivering this project under a joint venture, the firms said in a joint statement.
The firms found that 鈥渦ncertain outcomes鈥� around the product definitions and structural complexities would 鈥渟ignificantly increase the timeline and costs鈥� associated with this approach.
They added: 鈥淎s such, after careful consideration, we have jointly agreed to end our engagement in this venture.
鈥淲e remain independently committed to working with regulators and the industry to contribute and drive further progress towards this very important initiative.鈥�
The venture would have ensured the participation of all three firms in a public procurement procedure to become a fixed income consolidated tape provider (CTP) in the EU or the UK.
Earlier this year in May, the firms announced that the initiative would reflect the desire of all three parties to improve the fixed income ecosystem and make a 鈥渕eaningful鈥� investment in winning the tender for the European bond CT.
Cloud-native financial data management firm FINBOURNE Technology was selected as the technology infrastructure provider to build and operate the CT for the JV Company, with regulatory specialist and industry veteran Neil Ryan set to lead the CTP initiative.
However, various developments in recent months have added further clarity to the 鈥渞isk and complexity鈥� of delivering this project under a joint venture, the firms said in a joint statement.
The firms found that 鈥渦ncertain outcomes鈥� around the product definitions and structural complexities would 鈥渟ignificantly increase the timeline and costs鈥� associated with this approach.
They added: 鈥淎s such, after careful consideration, we have jointly agreed to end our engagement in this venture.
鈥淲e remain independently committed to working with regulators and the industry to contribute and drive further progress towards this very important initiative.鈥�
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