MarketAxess Gains Temporary SEF Status

MarketAxess says its wholly-owned subsidiary MarketAxess SEF Corporation will offer a range of functionality for electronic trading of credit default swaps, including an order book that will enable market participants to trade anonymously, and a request-for-quote system operating in conjunction with the order book.

"We are very pleased that the CFTC has granted MarketAxess temporary SEF registration," says Rick McVey, chief executive officer of MarketAxess. "We are committed to building efficient e-trading technology that promotes increased transparency in the swaps markets, and to providing our clients with the leading functionality and liquidity for credit derivatives trading."

SEFs have been devised by US regulators through Title VII provisions in the Dodd-Frank Act in order to enhance transparency and stability in the over-the-counter derivatives market by moving standardized contracts onto electronic platforms.

Companies that have been granted SEF status will be allowed to start trading on 2 October 2013.