CurveGlobal
| CurveGlobal | |
| |
| Founded | 2015 |
|---|---|
| Headquarters | London |
| Key People | Michael Davie, Chairman; Andrew Ross, Chief Executive |
| Products | Interest rate derivatives |
| Website | Click Here |
CurveGlobal was an interest rate derivatives venture started up in October of 2015 by the London Stock Exchange Group (LSEG) and a number of leading dealer banks: Bank of America Merrill Lynch, Barclays, BNP Paribas, Citi, Goldman Sachs, J.P. Morgan and Société Générale, together with the Chicago Board Options Exchange.[1][2] [3]
Trading of CurveGlobal products on the London Stock Exchange's derivatives market went live on September 26, 2016.[4] [5] The platform was designed to compete with Deutsche Boerse and Intercontinental Exchange, but it struggled to gain traction and required additional funding from its investors. LSEG, which owned a 44% stake in CurveGlobal, recorded an operating loss of 4 million pounds on the project in 2020.[6]
The platform was shut down on Jan. 28, 2022.[7]
History[edit]
LSEG began working on the futures initiative in 2013, though the project remained a secret until October 2015, when the company announced the launch. Bill Templer, who served as a lead consultant to the project and was rumored to become its first CEO, left the company in November 2015. The CEO position was given to Andrew Ross.[8]
CurveGlobal's COO, Cathryn Lyall, left the company in July of 2016, a couple of months before the venture was scheduled to go live. At the same time, Richard Walker joined as head of business development.[9]
The venture, intended to complement LCH.Clearnet’s interest rate portfolio margining service, raised £30 million in 2016 and another £20 million in January 2018. From its launch through January 2018, CurveGlobal traded 2.2 million contracts. [10][11]
Products and Services[edit]
CurveGlobal offered a range of short and long-term futures contracts, including:
Short Term Interest Rate (STIR) Futures
- Cash-settled Futures contracts, based on 3-month Euribor
- Cash-settled Short Sterling Futures, based on ICE LIBOR.
Medium and Long Term Interest Rate (LTIR) Futures
- Physically settled Schatz Futures
- Physically settled Bobl Futures
- Physically settled Bund Futures
- Physically settled Long Gilt Futures.
All CurveGlobal products were admitted to trading on LSEG’s wholly owned subsidiary, London Stock Exchange plc’s (LSE plc), London Stock Exchange Derivatives Market, and cleared through LCH.Clearnet.
CurveGlobal launched three-month SONIA futures contracts in February 2018 as the UK transitioned from the LIBOR benchmark to the new index. A global hedge fund executed the first three-month SONIA contract on the platform on 30 April 2018, which was then completed and cleared by Citi. CurveGlobal has said it will add one-month SONIA interest rate futures at the end of July 2019 to meet client demand.[12]
Key People[edit]
- Michael Davie, Chairman[13]
- Andrew Ross, Chief Executive
- Richard Walker, Head of Business Development
- Ralph Bird, Head of Product Development
- James Brinsden, Programme Manager
References[edit]
- ↑ LSE Group's joint venture CurveGlobal appoints Andrew Ross CEO. Reuters.
- ↑ London Stock Exchange Group launches new derivatives venture – CurveGlobal. London Stock Exchange Group.
- ↑ What's different about CurveGlobal?. FOW.
- ↑ CurveGlobal COO Lyall departs amid September launch. The Trade.
- ↑ CurveGlobal Market Open. LSEG.
- ↑ London Stock Exchange to Shut Down CurveGlobal Exchange. Bloomberg.
- ↑ London Stock Exchange to Shut Down CurveGlobal Exchange. Bloomberg.
- ↑ Bill Templer leaves LSE's Curve project. FOW.
- ↑ Curve COO Lyall to leave, Walker to run sales. FOW.
- ↑ Derivatives exchange CurveGlobal readies for fixed income push. FT.
- ↑ Major dealer banks pump further £20 million into LSEG’s CurveGlobal. The Trade.
- ↑ CurveGlobal Expands Sonia Interest Rate Futures. The Trade News.
- ↑ Our Team. CurveGlobal.