Overbond Integrates Neptune Networks Axe Data To Enhance Client-Specific Analytics For Corporate Trading Execution
LONDON, UNITED KINGDOM, ENGLAND, February 27, 2024
Overbond integrates Neptune Networks axe data to enhance
client-specific analytics for corporate trading execution and bring the latest in AI
size-adjusted pricing and liquidity discovery
Overbond, an AI-driven fixed income analytics and trade workflow automation provider has
announced the integration of Neptune Networks Ltd., a fixed-income pre-trade market utility,
industry leading axe data, which will enhance the functionality and accuracy of Overbond
analytics and the trade automation possibilities for existing Neptune buy-side clients.
Overbond will also expand the universe of securities covered by its analytics and trading
algorithms by incorporating Neptune data into each single-tenant client environment on request.
Axes have long been distributed to clients by sell-side fixed income desks to signal which
securities they are particularly interested in buying or selling. Buy-side participants use
this information to execute large trades, optimise order allocation and source liquidity
for less liquid securities.
Overbond AI will now use axe data provided by Neptune—uniquely to each client—to enhance its
size-adjusted pricing. This will be included in its analytics and trade automation suite,
alongside the multiple price aggressiveness levels, separated bid/ask liquidity scoring and
confidence scoring, which are already generated for every security.
Allocating trades via the best execution route can be a time-consuming and challenging
process. That’s why Overbond developed its unique smart order routing (SOR) algorithm. SOR
allows clients to see the optimal execution route given current market conditions. It uses
a historical lookback alongside current dealer axes unique to the client, to determine the
optimal dealer to engage for a specific security, given current market conditions. By
incorporating live axe data from Neptune, the precision of the Overbond SOR algorithm is
enhanced, further optimising the process for individual buy-side traders.
“We’re excited to Integrate Neptune and include client-specific API feeds into the Overbond
AI suite of credit trading algorithms. The inclusion of Neptune data will help buy-side
traders more efficiently discover desired inventory within the dealer-axed universe.” said
Vuk Magdelinic, CEO of Overbond. Byron Cooper-Fogarty, COO of Neptune, added “Neptune has
always responded to buy-side demand for connectivity to core workflow and analytical tools.
The integration with Overbond is the latest step in that process.”
About Overbond
Overbond is a developer of process-redefining, AI-driven data and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance, data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new issuance spreads, default risk and automated reporting,
Overbond enables trade automation and enhances trade performance and portfolio returns. Clients of Toronto-based Overbond
include global investment banks, broker-dealers, institutional investors, corporations and governments across the
Americas, Europe and Asia. For more information, please visit www.overbond.com.
About Neptune Networks
Neptune supplies the highest quality bond pre-trade data from the sell-side to the buy-side
via FIX. The network provides data from 31 global dealers via one connection. The value to
the buy-side means we are used by almost 100 buy-side firms who manage in excess of $60trn
in global AUM. Neptune data is delivered via several workflow options, including direct to
OMS and/or EMS, or via a number of APIs. Asset class coverage is broad, including Credit,
Emerging Markets, Rates and Munis. Neptune is “the most used standalone source of pre-trade
Fixed Income data” according to The Desk’s 2023 Trading Intentions Survey of major buy-side
customers. For more information, please visit www.neptuneFI.com.
Media Contacts
Overbond,
40 Gracechurch
London, UK EC3V 0BT
t: +1-416-559-7101
Overbond brings to credit trading A.I. Smart Order Routing and for the first-time Separate Bid and Ask Liquidity Scoring
TORONTO and LONDON, Sept. 19, 2023
Following its bid-ask liquidity scoring model's recent launch,
Overbond launched its smart order routing (SOR) system today.
These AI-driven tools are critical for achieving no-touch end-to-end
bond trading automation and may contribute to the continuing increase in automated trading of fixed income.
Whether trading over the phone, by message or electronically, both buy-side and sell-side
traders face the challenge of determining the liquidity of a bond before they trade.
This knowledge is also crucial for determining which trades are suitable for auto-execution.
Buy-side traders must also choose where, how, and when to transact to ensure optimal execution.
Traders need to know whether they can trade at their desired price for their desired size within
their desired time. For large trades, achieving optimal execution may involve breaking the trade up into multiple smaller trades.
Overbond has developed AI-driven liquidity and price confidence analytics that auto-adapt to trade size and direction,
enabling traders to see implied liquidity and confidence scores across hundreds of thousands of fixed income securities.
The scores are derived from volatility and bid-ask spread components and are divided into tiers according to their liquidity
and pricing confidence relative to the universe of bonds with the same currency. Overbond assigns bonds to three tiers. Tier 1 bonds,
for example, are the most liquid and are the best candidates for auto-execution.
SOR is an automated process used by the buy-side for online trading. It executes trades by allocating them across various
electronic trading venues and counterparties based on price and liquidity to get the best execution and minimise trading costs.
When necessary, the SOR algorithm may first determine an optimal way to break up, or chunk, the trade.
Overbond worked with partners from the buy and sell sides to develop an SOR system with AI-enhanced routing logic that maximises
execution probability and gives the trader complete visibility of how the order will be broken down.
"We're very excited about the launch of these tools. At Overbond we have a strong team of data scientists and developers who are
working hard to innovate and push the boundaries of what AI can do in the fixed income markets. Gauging liquidity and routing
orders are pivotal steps in the trading process and enhancing them with AI can help traders manage their workflow more efficiently,
automate more trades and improve profitability," said Vuk Magdelinic, CEO of Overbond.
About Overbond
Overbond is a developer of process-redefining, AI-driven data and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance, data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new issuance spreads, default risk and automated reporting,
Overbond enables trade automation and enhances trade performance and portfolio returns. Clients of Toronto-based Overbond
include global investment banks, broker-dealers, institutional investors, corporations and governments across the
Americas, Europe and Asia. For more information, please visit www.overbond.com.
Media Contacts
Overbond,
40 Gracechurch
London, UK EC3V 0BT
t: +1-416-559-7101
Overbond to integrate European fixed-income transaction data from Deutsche Börse into its AI-aggregated data feeds and automated bond trading
Toronto and London - May 15th, 2023
Overbond,
the leading API-based credit trading automation and execution service in the global capital markets,
and Deutsche Börse Market Data + Services (MD+S), have entered into an agreement relating to the recently launched
Clearstream Bond Liquidity Data offering. The agreement will provide Overbond customers with market insights on
instrument liquidity and trading activity through a fixed-income post-trade data set on Eurobonds settled by Clearstream.
In the fixed-income trading space, data gaps remain a challenge for efficient, profitable fixed income trading and automation.
This is especially true in Europe, where transparency in fixed-income instruments hardly exists. Amidst this broad data gap,
bond desks may use and aggregate any existing but incomplete data sources available in the market.
However, aggregating the available data into executable prices and liquidity measures requires sophisticated
artificial intelligence (AI) and cloud-based processing. Most bond trading desks lack the resources and expertise to do this in-house.
Overbond partners with the world’s largest exchanges and capital markets data providers to bring cloud-based AI aggregated data
and automated trading solutions to fixed-income trading desks around the globe.
Through the partnership with Deutsche Börse and Clearstream, Overbond will gain access to settlement-level fixed-income transaction
data derived from the 170 million transactions that Clearstream processes annually across 100 currencies and 60 domestic markets.
As the bond market is an over-the-counter market and most bonds are still traded over the phone, the addition of settlement-layer
records significantly supplements the data sourced from electronic platforms.
Overbond utilises six months of historical data to train its AI model, in order to generate pre-trade pricing and liquidity analytics.
Combining Clearstream transaction data for European instruments with data from Overbond partners that provide binding quote data
from all-to-all trading platforms will create the most robust European AI training data set available for the benefit of a better
informed fixed-income trading in the EU.
“Complete and accurate data is a foundational tool for achieving consistent profitability in the bond markets.
Incorporating Clearstream data into the training set for Overbond AI is a game-changer. It allows us to create a great tool
for traders of European debt and enables them to automate up to 40% of their trades using Overbond,” said Vuk Magdelinic,
CEO of Overbond.
“This partnership is a great milestone for the fixed-income industry as it combines our bond settlement data with Overbond’s AI
and cloud-based technology,” said Alireza Dorfard, Head of Market Data + Services at Deutsche Börse. “It is in line with our ongoing
efforts to collaborate with partners on providing state-of-the-art solutions in financial markets.”
“Being at the heart of the Eurobond market, Europe’s largest securities market, it is Clearstream’s mission to increase
transparency and therefore efficiency for all participants. This partnership is a great step on this journey, providing the
market with comprehensive, up-to-date and high-quality bond settlement data,” added Guido Wille, Head of Eurobonds Business at
Clearstream.
Overbond AI will use this data set to generate a robust European fixed-income trading data set and enhance the precision of
Overbond liquidity scoring, risk tiering and margin modeling―all of which will be available to Clearstream clients.
About Overbond
Overbond is a developer of process-redefining, AI-driven data and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance, data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new issuance spreads, default risk and automated reporting,
Overbond enables trade automation and enhances trade performance and portfolio returns. Clients of Toronto-based Overbond
include global investment banks, broker-dealers, institutional investors, corporations and governments across the
Americas, Europe and Asia. For more information, please visit www.overbond.com.
Media Contacts
Overbond,
40 Gracechurch
London, UK EC3V 0BT
t: +1-416-559-7101
Overbond and Finsemble Collaborate to Streamline FI Trader Workflows through FDC3 Interoperability
Toronto and London – May 14, 2023
In the fixed-income trading space, data gaps remain a challenge for efficient, profitable fixed income trading and automation.
This is especially true in Europe, where transparency in fixed-income instruments hardly exists. Amidst this broad data gap,
bond desks may use and aggregate any existing but incomplete data sources available in the market.
However, aggregating the available data into executable prices and liquidity measures requires sophisticated
artificial intelligence (AI) and cloud-based processing. Most bond trading desks lack the resources and expertise
to do this in-house. Overbond partners with the world’s largest exchanges and capital markets data providers to bring
cloud-based AI aggregated data and automated trading solutions to fixed-income trading desks around the globe.
“At our core at Overbond we strive for interoperability of our AI algorithm suite with native trader desktop workflow.
Our partnership with Finsemble solidifies this approach,” says Chaim Hack, Director of Sales at Overbond.
“This seamless integration allows Overbond clients to derive even greater value from Overbond components,
as they can now interoperate with a wide range of applications,” he adds.
Overbond's analytics empower traders to identify up to 30% more executable trades, leveraging the power of data-driven insights.
With Finsemble's desktop interoperability, traders can seamlessly connect to mission-critical systems, such as OMS, enabling
faster decision-making and increased efficiency.
“Overbond users will benefit greatly from Finsemble’s native application support,” says Jim Bunting,
Finsemble Global Head of Partnerships. “We’re thrilled to add Overbond to our growing roster of Finsemble partners that
bring best-in-breed tech to the industry.”
The Finsemble Overbond partnership sets the stage for an optimized FI trader workflow experience for Overbond users.
About Finsemble
Finsemble is the industry leader in interoperability initiatives and FDC3-workflow solutions. With Finsemble,
applications of any type—native, web, in-house, and third-party—can seamlessly connect and share information, allowing clients
to build customized, automation-assisted workflows that free up end users to do their best work. Results include ten minutes
saved per trade and a reduction in RFQ response times of 33%. Clients such as Citi, Pictet Asset Management and
Charles River Development choose Finsemble for its world-class U.S. based support, no/low code approach, and partnership-level
collaboration. Visit www.finsemble.com for more information.
About Overbond
Overbond is a developer of process-redefining, AI-driven data and analytics and trade automation solutions for the global fixed
income markets. Overbond performs market surveillance, data aggregation and normalization, and deep AI quantitative observation
on more than 250,000 corporate bonds and fixed income ETFs. Applying proprietary artificial intelligence to pricing, curve visualization,
market liquidity and automated reporting, Overbond enables trade automation and enhances trade performance and portfolio returns.
Clients of Overbond include global investment banks, broker-dealers, institutional investors across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
Media Contacts
Overbond,
40 Gracechurch
London, UK EC3V 0BT
t: +1-416-559-7101
Overbond launches trade size-sensitive AI bond liquidity and pricing analytic that auto-adjusts in real time for buy and sell trades; wins A-Team Group award for Most Innovative AI
TORONTO, CAN and LONDON, UK — March 23rd, 2023 —
Overbond,
the leading API-based credit trading automation and execution service in the global capital markets, has launched
next-generation AI-driven liquidity and price confidence analytics that auto-adapt to trade size and direction.
This launch coincides with Overbond winning the A-Team Group award for Most Innovative AI in Trading Initiative.
Buy-side traders aim to increase the speed and quality of execution and manage trading costs.
However, they often encounter differences between prices and liquidity on the bid side and prices and
liquidity on the ask side for a given CUSIP/ISIN.
Execution desk traders need to best-execute trades in the full size desired. To do this, they need analytics
that provide enhanced liquidity discovery and size-sensitive pricing. The Overbond data science team solved
this problem by engineering a superior AI analytic that separately measures inventory for buy and sell trades.
The Overbond data science team harnessed the power of auto-adjusting AI to aggregate data from pre-trade streams and
post-trade historical data and applied additional innovative modeling tools such as case-mix adjusted cluster analysis
(CMAC) and total market capacity per ISIN/CUSIP. One of the most innovative aspects of the solution is the first-time
application of auto-adjusting AI with new mathematical techniques such as CMAC from sister fields such as medical science.
“Adjusting Overbond liquidity and price confidence scores for trade size and direction greatly enhances the powerful edge that Overbond buy-side clients gain from using our AI suite. Traders will get increased coverage and precision of our automated execution API feeds. We’re also happy to win the A-Team Group award for Most Innovative AI” said Vuk Magdelinic, CEO of Overbond.
About Overbond
Overbond is a developer of process-redefining, AI-driven data and analytics and trade automation solutions for the global fixed
income markets. Overbond performs market surveillance, data aggregation and normalization, and deep AI quantitative observation
on more than 250,000 corporate bonds and fixed income ETFs. Applying proprietary artificial intelligence to pricing, curve visualization,
market liquidity and automated reporting, Overbond enables trade automation and enhances trade performance and portfolio returns.
Clients of Overbond include global investment banks, broker-dealers, institutional investors across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
Media Contacts
Overbond,
40 Gracechurch
London, UK EC3V 0BT
t: +1-416-559-7101
Overbond and Bonds.com partner to bolster fixed income data aggregation and trade automation
A new data sharing and redistribution agreement between Overbond and MTS Markets International Inc,
the Broker Dealer operating Bonds.com ATS, will create one of the most comprehensive aggregated
fixed income data feeds on the market and enhance the coverage and precision of Overbond’s automated fixed income trading
TORONTO, ON and NEW YORK, NY — October 3rd, 2022 —
Overbond,
the leading API-based credit trading automation and execution service in the global capital markets,
has entered into a data sharing and redistribution agreement with Bonds.com, the platform that offers
access to liquidity and real-time execution on an anonymous, all-to-all order book. Overbond will
integrate certain Bonds.com fixed income price data to enhance the coverage and precision of its
AI-generated fixed income data feeds and automated trading solutions, and Bonds.com clients will
gain access to Overbond’s fixed income prices and liquidity-confidence scores.
Fixed income trading has been re-shaped by the development of new financial products,
the emergence of electronic all-to-all platforms, and the rise of non-dealer liquidity providers
using algorithmic and high-frequency trading. Now, fixed income traders face heightened volatility
and evaporating liquidity against a backdrop of rate hikes, inflation, and recessionary concerns.
In this environment, electronic and automated trading have become the new standards. These require precise,
live data but significant fixed income data gaps persist because there is no unified, central source for bond trade data.
Aggregating the available data into executable prices and liquidity measures requires sophisticated AI and
cloud-based processing for models, and most bond trading desks lack the resources and expertise to do this in-house.
Overbond partners with the world’s largest trading venues and capital markets data providers to bring AI and
cloud-based aggregated data and automated trading solutions to fixed income trading desks around the globe.
Through its partnership with Bonds.com, Overbond AI will be able to integrate an additional 10 million price
updates daily across 25,000 investment grade (IG), high yield (HY) and emerging market (EM) bonds.
In turn, MTS data will now include Overbond liquidity confidence scores and best executable pricing.
The Bonds.com data adds a previously untapped layer of information to AI fixed income data aggregation
because it includes firm, executable prices in real time.
“Using post-trade data to generate real-time aggregated data feeds is challenging because of the time lag between the
execution of the trade and the release of its associated data, and because only a limited proportion of bonds trade
in a given day. By providing firm, executable prices in real time, Bonds.com fills the data gap between post-trade data
and real-time—but non-binding―quotes. Integrating this additional layer of information into Overbond will increase the coverage,
the precision and the discovery of best-executable pricing and liquidity in the fixed income markets,” said Vuk Magdelinic, CEO of Overbond.
“We are excited to be able to add Overbond AI-generated fixed income prices and liquidity scores to the already robust data
we offer our clients, and to work with Overbond to increase the quality of data and information available to our clients”
said David Parker, Head of MTS Markets International.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About Bonds.com
Bonds.com, part of the Euronext Group, is an ATS operated by MTS Markets International, Inc. (MMI), a US-based,
FINRA-registered broker dealer. BondsPro is an electronic bond trading platform that offers institutional investors
access to liquidity and real-time execution on an anonymous, all-to-all order book. It supports a wide range of
corporate bonds and emerging market debt. MMI is a member of FINRA and SIPC, and is owned by MTS SpA and Euronext.
Media Contacts
Ted Harvey,
Europe and North America,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond secures new round of funding from Fitch Ventures for its international expansion
Overbond will scale significantly, integrate new real-time data sources to increase
the coverage of its AI trade automation and launch new data redistribution channels
for clients
TORONTO, ON & LONDON, UK — AUGUST 3, 2022 —
Overbond,
the leading API-based credit trading automation and execution service in the global
capital markets, has secured funding from Fitch Ventures, the equity investment arm
of Fitch Group, which is a global leader in financial information services. Overbond
will use the capital to grow its sales and marketing division with plans to open an
office in London, U.K., and double its headcount over the coming year. In addition,
through new cloud-based data redistribution channels, Overbond will grow its global
presence, integrate new data sources to expand its AI models’ coverage and provide
enhanced AI trade automation solutions for clients.
Fixed income traders face heightened volatility and evaporating liquidity against a
backdrop of rate hikes, inflation, and recessionary concerns. And over the last decade,
the industry has been re-shaped by the development of new financial products, the
emergence of electronic all-to-all platforms and the rise of non-dealer liquidity
providers using algorithmic and high-frequency trading.
In this environment, sell-side traders face pressure to execute with unprecedented speed
and it’s harder for buy-side traders to generate alpha. As a result, electronic trading
and the use of AI for analysis and trade automation are the new standards for the fixed
income markets.
This electronic and automated trading requires precise, live data. But significant data
gaps persist because there’s no unified, central source for bond trade data and aggregating
the available data into executable prices and liquidity measures requires sophisticated AI
and cloud-based processing for models. Most bond trading desks lack the resources and
expertise to do this in-house.
Overbond partners with the world’s largest exchanges and capital markets data providers
to access and aggregate global fixed income data.
“Credit trading desks need to automate to gain an edge in this environment, but they don’t
have the in-house data aggregation or AI optimization capabilities to do that with precision.
Overbond offers traders a way to bring precise, high-speed automation to their desktops. In
addition, Overbond is fully interoperable with other systems on the desk so that traders can
use a single interface. Now, with the new funding and data access, Overbond clients can trade
faster, smarter, and more profitably,” said Vuk Magdelinic, CEO of Overbond.
“We are very pleased to support the next stage in Overbond’s development through our investment
in the company. Their product is responding to a clear market need for better data to support
trade automation. We also look forward to working with the team at Overbond to explore how their
product might benefit Fitch Group companies. ,” said Shea Wallon, Managing Director, Fitch
Ventures.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About Fitch Ventures
Fitch Ventures is the equity investment arm of Fitch Group, a
global leader in financial information services with operations
in more than 30 countries. With dual headquarters in London and
New York, Fitch Group is owned by Hearst.
Fitch Ventures makes equity investments in innovative and emerging
technology companies in the rapidly evolving financial services
industry to help accelerate their commercial growth. Portfolio
companies benefit from the strategic support and expertise of
Fitch Group and Hearst.
Media Contacts
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond adds pre-trade streaming API for AI optimised TCA into its EMS interoperability automation suite
Overbond buy-side clients now have access to pre-trade and post-trade
fixed-income TCA to achieve best execution and workflow automation
TORONTO, ON and NEW YORK, NY — OCTOBER 5, 2021 —
Overbond,
a provider of AI analytics and trade automation for the global fixed income markets,
announced today the addition of real-time pre-trade and post-trade transaction cost
analysis (TCA) to its execution management system (EMS) interoperability automation suite of AI fixed
income trading tools. This new Overbond TCA draws on the unmatched data aggregation,
exceptional API interoperability and industry-leading refresh rate that Overbond clients
have come to rely upon.
Overbond COBI-Pricing LIVE is one of the few trading suites that features a multi-source
data input and the only fixed income analytics suite that allows for cross-venue,
cross-trading-protocol liquidity discovery and optimisation. The full interoperability
of COBI-Pricing LIVE via bilateral REST APIs allows AI algorithms to ingest, aggregate
and process data from live and historical vendor feeds, internal historical records of
executed trades, post-trade volume and liquidity data and voice/chat OTC transactions
translation data. Overbond AI achieves an industry-leading refresh rate using cloud
computing and parallelization.
Harnessing Overbond interoperability with the internal order management systems (OMS)
and client databases of the trading desk, the TCA looks back through OMS records and
blotters from past transactions for similar bonds (ISIN/CUSIP), looking at multiple
variables including risk, liquidity, size, counterparty, RFQ competitiveness and
dealer quotes and inventories. Overbond AI aggregates the data, determines best executable
pricing and liquidity and powers TCA pre-trade LIVE recommendations and post-trade reports.
“TCA has traditionally been a post-trade exercise, but Overbond has brought it to pre-trade
LIVE. Overbond AI refreshes the entire TCA look-back every two seconds for client books
that can have tens of thousands of trades, so traders can be confident that they have
the most complete real-time information available on best-executable pricing, liquidity
risk and transaction cost, and can smart order route in the price-size chunks necessary.
No other TCA tool available combines the breadth of data aggregation, API interoperability
and speed like Overbond AI,” said Vuk Magdelinic, CEO of Overbond.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
Media Contacts
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond Launches AI-driven Rich-cheap Fixed Income Model to Help Buy-side Firms Systematically Extract Alpha
Overbond’s AI rich-cheap trading strategy gives buy-side fixed income desks around the globe a
quantitative method for extracting alpha by screening for mispriced fixed income securities
TORONTO & NEW YORK - September 09, 2021 - ( BUSINESS WIRE ) --
Overbond,
has added a rich-cheap model to its suite of AI fixed income analytics, allowing buy-side
desks around the globe to generate systematic return with a real-time, fully back-tested methodology
that is part of a scalable and interoperable trading system.
We’re in a long-running environment of low-rates, tight credit spreads and low
secondary-market liquidity. In this new landscape, electronic trading and the use
of AI for trade automation have become the new standard and investors are increasingly
turning to quant trading and AI in fixed income to increase alpha.
This increased electronification of the markets has created a large amount of useable
and accessible real-time and historic trade data that can be aggregated by clients to
use for analysis by cutting-edge AI tools. This new generation of AI is being used to
perform sophisticated relative value analysis, including enhanced rich-cheap analysis.
Overbond has harnessed AI and the wealth of new transaction information to bring quantitative
trading to buy-side desks through an enhanced rich-cheap model. This new model provides
insight well beyond the traditional rich-cheap analysis and is more powerful than what
can be created through spreadsheet methods or factor analysis alone,” said Vuk Magdelinic,
CEO of Overbond.
Combining both static and dynamic analysis of multiple factors with AI, Overbond’s
rich-cheap model provides a quantitative method for screening for mispriced fixed
income securities. It’s a mean-reversion valuation model designed to pre-identify
bonds as rich ‘sell’ and cheap ‘purchase’ candidates based on proprietary Overbond
valuation metrics and AI non-linear optimization.
The rich-cheap model is offered as an add-on to Overbond’s COBI-Pricing LIVE, which
has industry leading coverage of fixed income prices, liquidity scores and trading
recommendations. With COBI-Pricing LIVE, fixed income traders have at their fingertips
a powerful AI-driven suite that can automate trade flow and improve liquidity risk,
price monitoring and reporting. Overbond’s AI works for trades of any size and with
varying liquidity profiles, and the system can be integrated with existing systems.
COBI-Pricing LIVE is one of the few trading suites that features a multi-source data
input and is the only fixed income analytics suite that allows for the use of alternative
data such as S&P Capital IQ Financial Statements. The full interoperability of COBI-Pricing
LIVE via bilateral REST APIs allows its AI algorithms to ingest, aggregate and process
data from live and historical vendor feeds, internal historical records, OTC settlement
\ layer volume records and voice transactions. Overbond’s suite of AI algorithms analyzes
all primary and agency trading routes and voice and electronically executed trades across
multiple venues that the fixed income desk is connected to and counterparty types the
desk trades with. This comprehensive AI-enhanced data aggregation gives Overbond’s
trade automation in fixed income superior coverage, precision and speed.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
Media Contacts
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond releases AI-driven margin optimization add-on to increase the profitability of automated fixed income trading
Sell-side fixed income desks using the margin optimization add-on can optimize their hit
ratio and triple the number of RFQs they are able to profitably respond to with full or
partial automation
TORONTO, ON and NEW YORK, NY — AUGUST 12, 2021 —
Overbond,
has released an AI-powered margin optimization add-on that fully
integrates with its existing suite of AI-powered fixed income analytics.
Traders using the add-on can optimize their hit ratio and triple the
number of RFQs they are able to profitably respond to with full or partial
automation.
The structure of fixed income markets has changed dramatically over
the past decade. Secondary market liquidity has declined markedly
due to new regulations that have led to increased capital requirements,
reduced risk limits and increased costs for dealers.
New fixed income products, the emergence of electronic all-to-all
platforms and non-dealer liquidity providers are creating new
competition for dealers and increasing the pressure to reduce their
response time to RFQs.
“It is difficult for sell-side fixed income desks to be profitable in
this environment, so trade automation has become the industry standard.
Traders are realizing that they can gain a competitive edge by augmenting
their trading with AI. Of course, achieving an optimal hit ratio is a key
part of maximizing P&L. With Overbond’s AI-driven margin optimization
add-on, sell-side desks can respond to up to three times the volume of RFQs
without incurring negative margin on those trades,” said Vuk Magdelinic,
CEO of Overbond.
Overbond’s margin optimization add-on captures various margin optimization
measures and converts them to one unified all-optimized distance. To train
the model to the risk tolerance and execution style of the desk it calculates
this optimized distance for all prior categories of RFQs processed by the desk,
such as those that are accepted, rejected, covered and traded-away. Using this
information, it minimizes the distance-to-cover at the point of execution of
all new RFQs, based on the best executable price according to Overbond’s pricing
model, COBI-Pricing LIVE.
COBI-Pricing LIVE has a refresh rate of less than three seconds, enabling
sell-side trading desks to fully automate 30% of their RFQs and execute an
additional 20% with trader supervision. COBI-Pricing LIVE allows traders
to automate trade flow, improve liquidity risk, improve price monitoring
and reporting, and respond to 80% to 120% more RFQs. With the margin optimization
add-on, traders can maintain an optimal hit ratio and significantly increase desk P&L.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
Media Contact
Overbond and IPC Accelerate Automation of Fixed Income Trading with Voice-to-AI Partnership
TORONTO, ON and JERSEY CITY, NJ — August 5, 2021 —
Overbond,
has partnered with IPC, a leading provider of secure, compliant
communications and multi-cloud connectivity solutions for the global
financial markets, to integrate IPC’s point-of-trade voice transaction
data into Overbond’s AI algorithms powering automated fixed-income
trading. Overbond’s fixed-income AI pricing and liquidity algorithms
harness the industry’s deepest data stack, which now includes voice
trades through the partnership with IPC, bringing exceptional precision
to the automation of bond trades.
"Roughly one quarter of fixed income trades in the United States
and Europe are still executed by voice,” said Vuk Magdelinic, Chief
Executive Officer, Overbond. “This heretofore uncaptured data was
a significant gap in AI-powered, automated fixed-income trading
and modeling, and will be erased by Overbond’s strategic collaboration
with IPC.”
Said Bob Santella, Chief Executive Officer, IPC: “Our partnership
with Overbond continues the digital transformation of fixed income
trading by fully harnessing the power of voice data. As a company,
IPC embraces an open platform approach to reimagine how financial
institutions everywhere trade, share information, and optimize workflows.”
IPC’s Dictation as a Service is an industry-leading cloud-based Natural
Language Processing (NLP) powered by IPC’s global Connexus Cloud financial
ecosystem. The service enables traders to “dictate” trade jargon and
translate the output in real-time through IPC’s award-winning Blotter
visualization application. These tools provide a comprehensive end-user
solution for converting unstructured voice trade data into a searchable,
exportable structured data format in real-time.
Meanwhile, Overbond has led the way in tackling the data aggregation issues
affecting automated trading of fixed income. Overbond’s COBI-Pricing LIVE is
a customizable AI pricing engine that assists traders in automating pricing
and trading workflows for global investment-grade bonds, generating prices
and liquidity scores for more than 100,000 fixed income instruments. The full
interoperability of COBI-Pricing LIVE via bilateral REST APIs allows its AI
algorithms to ingest, aggregate and process data from live and historical
vendor feeds, internal historical records, OTC settlement layer volume records,
and now voice transactions.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About IPC
IPC is a technology and service leader powering the global financial
markets. We help clients anticipate change and solve problems,
setting the standard with industry expertise, exceptional service,
and comprehensive technology. With a customer-first mentality, IPC
brings together one of the largest and most diverse global financial
ecosystems spanning all asset classes and market participants. As
the enabler of this ecosystem, IPC empowers the community to interact,
transact and react to market changes and challenges, and we collaborate
with our customers to help make them secure, productive, compliant, and
connected.
Visit
ipc.com
and follow us on
LinkedIn
and
Twitter (@IPC_Systems_Inc).
Media Contacts
IPC
Drew Pierson,
North America,
t: +1 212 529 4810
Flora Haslam,
Europe,
t: +44 203 217 7062
Victoria Baille,
Asia,
t: +852 8198 2417
Overbond and Rapid Addition Form Strategic Alliance to Bring Interoperability and Market Connectivity to Bond Trading Automation
TORONTO & LONDON – February 23, 2021 –
Overbond's,
fixed income artificial intelligence (AI) now offers protocol and
system agnostic integration with venues and e-trading systems
used by sell-side and buy-side trading desks thanks to a strategic
alliance with electronic trading innovator, Rapid Addition. The
collaboration will help fixed income traders around the globe to
harness the power of Overbond AI and automate up to 50% of RFQs.
Rapid Addition’s expertise in FIX protocol, counterparty and
market-place connectivity via its open API enterprise software
platform will allow global fixed income trading desks to
seamlessly integrate AI-driven bond pricing and liquidity
scoring analytics into their workflow, regardless of which
internal OMS, e-trading system, direct venue connectivity,
cloud or on-premise solution they currently use. These API
connections allow for internal system integration, pre- and
post-trade external data vendor ingestion, and liquidity venue
connectivity — ultimately creating a streamlined system capable
of automating RFQ flow using Overbond’s AI engine.
With the internal system connectivity facilitated through Rapid
Addition’s Open API, sell-side bond trading desks can make
Overbond’s AI models their own by accessing recorded transaction
history to train the model according to the trading style of the
desk. By maximizing the precision of these models with cross-venue
coverage, desks can optimize P&L performance.
“Great tools are most powerful when they are easy to deploy,
easy to use and a seamless part of your workflow. Overbond has
a powerful suite of AI modeling and visualization tools for
trading automation, and with Rapid Addition’s ability to provide
interoperability and market connectivity we can now provide
sell-side traders with a system that is not just capable of
automating RFQ flow in any currency they make markets in, but
is fully integrated from front to back,” said Vuk Magdelinic,
CEO of Overbond.
Overbond’s COBI-Pricing LIVE is a customizable AI pricing engine
designed to assist traders in automating pricing and trading
workflows for global investment-grade bonds. It can generate prices
and liquidity scores for more than 100,000 fixed income instruments
and build curves for more than 10,000 issuers in various real-time
liquidity scenarios. COBI-Pricing LIVE has an industry-leading
refresh rate of less than three seconds — giving sell-side trading
desks the ability to fully automate 30% of their RFQs and execute an
additional 20% with trader supervision.
According to Rapid Addition CEO, Mike Powell, “We continue to see
increased electronification across capital markets, partly driven
by changes to regulation and market structure, but also driven by
the deployment of new technologies. We are excited by the potential
of combining Overbond’s expertise in AI and Machine Learning with the
latest iteration of Rapid Addition’s market leading electronic trading
middleware, RA Platform 3.0. At a time when firms are looking to improve
ROI and competitive differentiation, this new generation of flexible,
open technology will help empower the next phase of their business
growth.”
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About Rapid Addition
Rapid Addition’s platform and modular development framework provide
the foundational technology needed to build flexible, high performance
and resilient electronic trading solutions. Rapid Addition was an early
pioneer in the development of electronic messaging technology and is
recognised as a market leader in financial messaging protocols and
FPGA. Helping customers with a broad range of use cases across the
trading life cycle, Rapid Addition serves sell-side firms,
asset managers, exchanges and liquidity platforms around the
globe.
Additional information can be found at www.rapidaddition.com
| Twitter @rapidaddition | LinkedIn:
www.linkedin.com/company/rapid-addition-limited
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond and Valantic FSA Partner to Integrate Overbond’s Pricing and Liquidity Scoring Technology with Valantic FSA’s eFICC Trading Solutions
TORONTO & FRANKFURT, Germany – February 09, 2021 –
Global fixed income traders can streamline their workflow and
seamlessly harness the power of AI to automate up to 50% of
requests for quotes (RFQs) now that Overbond’s COBI-Pricing
LIVE has been integrated into valantic’s eFICC trading systems.
Sourcing liquidity in global bond markets is cited as the
number one concern by institutional buy side clients as the
sell side has significantly reduced its appetite for warehousing
risk. This makes it even harder for the sell side to offer
effective RFQ services and get the best execution outcomes.
COBI-Pricing LIVE is a customizable AI pricing engine that
helps traders automate pricing for global investment-grade
bonds. It generates best executable prices and liquidity scores
for more than 100,000 fixed income instruments and builds curves
for more than 10,000 issuers in various real-time liquidity
scenarios. COBI-Pricing LIVE has an industry-leading refresh
rate of less than three seconds — giving sell-side trading
desks the ability to fully automate 30% of their RFQs and execute
an additional 20% with trader supervision.
Valantic FSA’s next generation eFICC trading platform, is a
complete solution that meets the challenges of electronic bond
trading today. Market making, bond pricing and hybrid connection
to electronic D2D and D2C venues and data platforms are all
integrated into a single high-performance application.
“With the combination of Overbond’s COBI-Pricing LIVE and the
Valantic FSA platform, traders can seamlessly harness the power
of AI-driven best executable pricing and liquidity scoring
within Valantic FSA’s negotiation workflow — from pre-trade
analytics to post-trade reporting. Trades can be executed
through one integrated system so traders do not have to swivel
between multiple systems. This maximizes the speed and quality
of execution — doubling or tripling their previous capacity to
respond to RFQs,” said Vuk Magdelinic, CEO of Overbond.
“We are pleased to be working with other innovative firms like
Overbond that help solve very real liquidity problems in today’s
fixed income markets. This is especially the case in credit
markets which have seen an explosion in issuance over the past
year” said Joachim Lauterbach, CEO Valantic FSA.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About Valantic FSA
Valantic FSA has successfully digitized the workflow for over
100 firms in capital markets. It builds robust and highly innovative
systems for trading, workflow management and downstream transaction
automation. Its mission is to digitize, augment and evolve the
value streams within its clients. The resulting workflows bring
superior levels of efficiency, insight and business agility that
enable these firms to position themselves for the future. valantic
FSA assembles complete systems from a broad range of battle
tested components and next generation technologies covering
Fixed Income and securitised instruments.
Digitize. Augment. Evolve.
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond first to integrate Euroclear LiquidityDrive into real-time bond trading automation
TORONTO, ON and NEW YORK, NY — JANUARY 21, 2021 -
Overbond Ltd.,
continues to lead the way in the automation of global fixed
income trading. The provider of AI quantitative analytics for
institutional fixed income capital markets is now the first to
integrate Euroclear LiquidityDrive settlement-layer data for
fixed income trade automation purposes.
“The lack of a centralized source of trade data is one of
the biggest hurdles to automating fixed income trading. But
now, using Euroclear LiquidityDrive, Overbond can access volume
information for OTC trades that is not found in any other
electronic venue-specific data feed. Integrating OTC trade
volumes into AI models enhances the precision of bond liquidity
scoring and best executable pricing. Adding settlement layer
data to our AI is the last frontier in data aggregation
necessary for real-time bond trading automation,” said Vuk
Magdelinic, CEO of Overbond.
Euroclear LiquidityDrive is a new data service that offers
in-depth liquidity analysis on all fixed income instruments
settled within Euroclear. Euroclear LiquidityDrive covers
more than 460,000 global corporate and government bonds,
and in 2019 the Euroclear post-trade ecosystem settled the
equivalent of EUR 837 trillion in securities transactions.
The service combines executed trade settlement data with
custody activity data and is agnostic of whether the instrument
is traded via an electronic platform or voice traded.
Overbond’s COBI-Pricing LIVE is a customizable AI pricing
engine designed toassist traders in automating pricing and
trading workflows. As part of COBI-Pricing LIVE, Overbond’s
liquidity scoring model uses Euroclear LiquidityDrivedata as
one of the various inputs to the AI liquidity scoring engine.
Overbond’s AI generates a single liquidity score per
CUSIP/ISIN. This allows for more accurate risk measurement
and enables trade automation in three different execution
styles: no-touch, one-touch or trader supervision. Using AI
liquidity scoring, COBI-Pricing LIVE tiers all trades
accordingly and determines if they qualify for full automation
or trader supervision, or if they should not be traded at the
current time.
Liquidity scores are generated for more than 100,000 fixed
income instruments with an industry-leading refresh rate of
less than three seconds — giving sell-side trading desks the
ability to fully automate 30% of their requests for quotes
(RFQs) and execute an additional 20% with trader supervision.
About Overbond
Overbond is a developer of process-redefining, AI-driven data
and analytics and trade automation solutions for the global
fixed income markets. Overbond performs market surveillance,
data aggregation and normalization, and deep AI quantitative
observation on more than 100,000 corporate bonds and fixed income
ETFs. Applying proprietary artificial intelligence to pricing,
curve visualization, market liquidity, issuance propensity, new
issuance spreads, default risk and automated reporting, Overbond
enables trade automation and enhances trade performance and
portfolio returns. Clients of Toronto-based Overbond include
global investment banks, broker dealers, institutional investors,
corporations and governments across the Americas, Europe and Asia.
For more information, please visit www.overbond.com.
About Euroclear
The Euroclear group is the financial industry’s trusted
provider of post-trade services. At the core, the group provides
settlement, safe-keeping and servicing of domestic and
cross-border securities for bonds, equities and derivatives
to investment funds. Euroclear is a proven, resilient capital
market infrastructure committed to delivering risk-mitigation,
automation and efficiency at scale for its global client
franchise.
The Euroclear group includes Euroclear Bank — which is
rated AA+ by Fitch Ratings and AA by Standard & Poor’s —
as well as Euroclear Belgium, Euroclear Finland, Euroclear
France, Euroclear Nederland, Euroclear Sweden and Euroclear
UK & Ireland. Euroclear settled the equivalent of EUR 837
trillion in securities transactions in 2019, representing
239 million domestic and cross-border transactions, and held
an average of EUR 30.1 trillion in assets for clients. For
more information about Euroclear, please visit www.euroclear.com.
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond achieves real-time AI bond pricing utilizing latest AWS serverless cloud infrastructure
MONTREAL, TORONTO and NEW YORK – October 22, 2020 –
Overbond Ltd.,
a fixed income analytics solution provider, today announces a newly
developed real-time AI bond pricing engine that utilizes the latest
data processing serverless cloud architecture from Amazon Web Services (AWS).
Overbond is the first fixed income analytics solution provider to
successfully deploy this kind of architecture for a fixed income
pre-trade analytics application. This solution builds on Amazon Kinesis
Data Analytics and AWS Lambda function parallel streams.
As a result, Overbond can now offer both sell-side dealers and buy-side
asset managers big data processing in real-time, historical benchmarking
and AI-driven price modeling for corporate and government issued bonds.
In addition, each of the functions are displayed from a single touchpoint
with a 2.5 second refresh rate or less.
“Overbond’s new real-time AI bond pricing engine is one of the fastest
processing units to be found on AWS infrastructure and the most advanced
application for fixed income trading,” said Vuk Magdelinic, CEO of Overbond.
“Real-time processing of live streaming APIs and AI-enhanced bond price modeling
that demands historical benchmarking and analysis was not possible without the
application of cutting-edge serverless-cloud technology that AWS recently launched.”
Overbond’s experienced engineering team designed the new real-time
AI pricing engine using AWS development infrastructure, including
coupling Kinesis Analytics with parallelization of AI processes using
Lambda functions. Amazon Elastic Map Reduce (EMR), Amazon Athena, Amazon Glue,
Amazon Kinesis, and Amazon DynamoDB were also utilized from the
AWS serverless cloud architecture suite.
About Overbond
With offices in Toronto, Montreal, and New York, Overbond is an artificial intelligence (AI)
quantitative analytics provider for institutional fixed income capital markets. We provide data
aggregation solutions and a comprehensive suite of AI algorithms (known as COBI) for bond pricing,
liquidity risk, auto-execution and hedging, pre-trade signals, and market surveillance. Founded in 2015,
Overbond is transforming how global investment banks, institutional investors, corporations, and governments
connect and access bond markets’ AI data analytics.
Our fully-digital platform and suite of AI models utilizes the world’s most advanced algorithms
in finance. We produce market analytics with AI pricing and trade-tiering optimizations that
enable full trade automation. Our tools and processes facilitate faster, more precise trade
execution, eliminate information flow inefficiencies, reduce execution costs, and minimize
compliance risks. In addition, the Overbond platform assists market participants with
systematic price discovery and liquidity risk management, enabling sell-side traders
to execute more profitable trades in larger volumes and buy-side traders to achieve pre-trade
best execution and counterparty selection.
Our global client base comprises buy-side institutions with over $2 trillion of
combined AUM and corporate and government issuers with more than $20 billion
in bonds outstanding. These clients include the European Central Bank, the
European Stability Mechanism (ESM), Wells Fargo, Fidelity, ATB Financial, Hydro One,
and EPCOR. In addition to its three offices, Overbond has R&D labs with three leading
Canadian universities and the Institute for Data Valorization (IVADO).
For more information, contact www.overbond.com.
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond Develops AI Algorithm That Predicts Future Bond Prices
MONTREAL, TORONTO and NEW YORK – October 5, 2020 –
Overbond Ltd.,
a fixed income analytics solution provider, today
announced it has developed an AI algorithm that predicts future
bond prices one to five days in advance, a development that
has the potential to revolutionize trading and portfolio construction.
This technological breakthrough was created in Overbond’s R&D Labs
in association with three leading Canadian universities – HEC Montreal,
Concordia University, and Queen’s University. The objective of the R&D
team was to create improved AI models that predict bond prices on a one
to five-day advance time horizon to enable market participants to better
manage trading activities, manage risk and make portfolio funding allocations.
Currently, the bond market remains heavily reliant on exchanges of
information between counterparties. Information on prices is decentralized,
and consequently, traders operate with different limitations in data access.
Some bonds may also be illiquid and/or trading infrequently, so accurate prices
are not observed at sufficient frequency, which creates an informational deficit.
“At a time when the entire market is struggling to determine a fair
value price for bonds in real-time, Overbond’s R&D team has delivered
an AI model that can predict prices in the future,” says Vuk Magdelinic, CEO of Overbond.
“Overbond achieved this by developing an altered mathematical formula which introduced a
net new factor to achieve credit curve convexity necessary for longer tenor bond optimizations.”
R&D project snapshot
The objective of the research project was to study the theory,
performance, and practical implementation of AI models for predicting
bond prices and yield curves in the future. The team focused on three
main areas of research that determine the dynamics of the yield curve
for government and corporate bond issuers. These were:
- Yield curve dynamics and price momentum
- Yield curve shape and nonlinear methods and
- Liquidity and information effects
Within each of the themes, a number of sub-projects were identified
which broadly fell into another three categories. These were:
- Feature engineering:
- Artificial intelligence learning methods:
- Time series dynamics assessment:
A critical task prior to the construction of
a sound predictive model was the design of sound features, such as covariates, encompassing material
predictive power to determine the shape of yield curves. This entailed determining the effects needed
to be captured by the various explanatory variables. These included momentum, market volatility, liquidity,
equity market signals, correlations between various segments of the curve, and macroeconomic situation.
This category used a set of covariates to construct
a performance predictive machine learning algorithm to forecast yield curves.
Various statistical and AI learning methods such as linear models, random forests,
neural networks, support vector machines were then tested.
This important last step involved modeling the time evolution of the covariates. Understanding this
evolution was crucial since the goal was to produce one to five-day forecasts
of yield curves. Time series models were applied to make the forecasts about
the value of covariates in the near future. In turn, these were used to perform
bond price forecasting using predictive analytics algorithms.
The significance of Overbond R&D Labs
Overbond R&D Labs is a member of the Institute for Data Valorization (IVADO)
in the Montreal MILA cluster. IVADO is a Quebec-wide collaborative institute
specializing in digital intelligence, dedicated to transforming new scientific
discoveries into concrete applications that benefit society. Located in the heart
of Quebec's AI ecosystem, Mila is a community of 450 researchers specializing
in machine learning and dedicated to scientific excellence and innovation.
With the support of IVADO and in partnership with HEC Montreal, Concordia University,
and Queen’s University, Overbond R&D Labs sources one of the deepest vertical data stacks
in the world for fixed income capital markets AI modeling, including traditional and
alternative data sets. Overbond R&D Labs have a capacity to onboard more than 40 masters,
doctoral and post-doctoral fellows from the three participating Canadian universities.
These labs focus on advanced AI applications for bond pricing, price momentum, liquidity scoring,
fundamental analysis, and modeling the shape of yield curves.
Overbond provides advanced models and AI capabilities to help reduce
development and research costs for its clients. All advanced algorithmic
outputs such as bond price momentum recommendations, pre-trade ideas,
pricing tension signals and buyer preference monitoring are made available
through Overbond’s cloud-accessible platform. Its R&D Labs also offer a rapid
prototyping environment as well as data cleansing and a normalization layer so
clients can drive meaningful AI modeling results without lengthy data sourcing
and structuring IT integration projects.
About Overbond
With offices in Toronto, Montreal, and New York, Overbond is an artificial intelligence (AI)
quantitative analytics provider for institutional fixed income capital markets. We provide data
aggregation solutions and a comprehensive suite of AI algorithms (known as COBI) for bond pricing,
liquidity risk, auto-execution and hedging, pre-trade signals, and market surveillance. Founded in 2015,
Overbond is transforming how global investment banks, institutional investors, corporations, and governments
connect and access bond markets’ AI data analytics.
Our fully-digital platform and suite of AI models utilizes the world’s most advanced algorithms
in finance. We produce market analytics with AI pricing and trade-tiering optimizations that
enable full trade automation. Our tools and processes facilitate faster, more precise trade
execution, eliminate information flow inefficiencies, reduce execution costs, and minimize
compliance risks. In addition, the Overbond platform assists market participants with
systematic price discovery and liquidity risk management, enabling sell-side traders
to execute more profitable trades in larger volumes and buy-side traders to achieve pre-trade
best execution and counterparty selection.
Our global client base comprises buy-side institutions with over $2 trillion of
combined AUM and corporate and government issuers with more than $20 billion
in bonds outstanding. These clients include the European Central Bank, the
European Stability Mechanism (ESM), Wells Fargo, Fidelity, ATB Financial, Hydro One,
and EPCOR. In addition to its three offices, Overbond has R&D labs with three leading
Canadian universities and the Institute for Data Valorization (IVADO).
For more information, contact www.overbond.com.
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond Launches Real-time AI Bond Pricing Trading Product
MONTREAL, TORONTO and NEW YORK – September 17, 2020 –
Overbond Ltd.,
with a three-second refresh rate, COBI-Pricing LIVE is a robust
customizable AI pricing engine designed to assist traders in automating
pricing and trading workflows for global investment grade bonds.
Overbond Ltd., a fixed income analytics solution provider,
today announced the launch of COBI-Pricing LIVE, the company’s
powerful new real-time AI bond pricing product. COBI-Pricing LIVE
has the capacity to process real-time historical pricing data on
coverage of over 30,000 securities with a refresh rate under three
seconds, making it the fastest in the industry and the first-to-market
offering such technology.
COBI-Pricing LIVE is the newest part of Overbond’s innovative suite of AI algorithms, and fills a gap in the current market by aggregating multiple data sources on the client side across trading venues, data aggregators themselves and fundamental and settlement layer data. Bond markets suffer from illiquidity and non-uniform data sources used to price bonds and build credit curves, and fixed income traders require accurate bond pricing that can measure the liquidity of individual securities and enable automatic execution.
COBI-Pricing LIVE provides this requirement by leveraging the power of AI models that optimize prices for bonds with various liquidity profiles and performing deep historical benchmarking and curve fitting. With the entire market expected to see approximately 40% of trading performed by AI algorithms by 2024, COBI-Pricing LIVE is well-positioned given its intuitive, customizable nature and the fact that it is designed to help traders make more informed buying and selling decisions.
“Both sell side dealers and buy side asset managers are increasingly relying on AI applications to price fixed income securities in live trading and automate part of their daily workflows,” says Vuk Magdelinic, CEO of Overbond. “However, most of the existing fixed income capital market data sources do not have enough coverage to provide traders with a view of true liquidity and price precision that can be executed automatically.”
The bond market, notes Magdelinic, heavily relies on segregated data disseminated between counterparties, which creates fragmented data sets that do not cover the bulk of over-the-counter traded flows. COBI-Pricing LIVE collates and organizes large volumes of disparate data, including non-traditional data sets such as fundamental and settlement layer data. Using novel AI liquidity scoring, COBI-Pricing LIVE tiers all trades and determines if these qualify for full-automation, trader supervision, or should not be traded at the current time.
How COBI-Pricing LIVE works
The Overbond platform first sources raw live trading and fundamental data from a range of suppliers. These include Refinitiv, S&P Global Market Intelligence, ICE, EDI, Euroclear and FINRA TRACE, among others, as well as major credit agencies. It also collates company-level fundamental data, dealer quotations, internal client executed trade records and investor preferences through feedback.
COBI-Pricing LIVE then utilizes an advanced three phase AI algorithm:
- Phase one: Generates pricing curves for a specified list of companies with the highest liquidity profile.
- Phase two: Uses a “nearest neighbours” algorithm to find similar bonds and companies to generate pricing curves for illiquid issuers
- Phase three: Creates individual ISINs pricing and curves for all illiquid issuers using support vector regression models.
Traders can train and customize models on their internal data to find a competitive edge in the market. The COBI-Pricing LIVE output can also be integrated into a data feed via an API, a desktop side-by-side integration with order-management-system (OMS), or viewed on the Overbond Platform as a downloadable table.
COBI-Pricing LIVE’s Key Benefits for Traders
Built by traders, for traders, COBI-Pricing LIVE is designed to eliminate pain points, streamline and automate the trading process. The product does so through the following:
- Uses aggregate historical data from multiple sources.
- Optimizes pricing for bonds with varying liquidity profiles.
- Enables fully automated bond trading workflow with various curve visualizations and front-end trade analytics tools that are integrated with the trader’s desktop.
- Assists dealers in predicting investor behavior with buy/sell indicators and boosting their request-for-quote (RFQ) hit ratio with a pricing feed featuring a margin optimization model add-on.
- Assists sell-side credit and rate traders with growing their RFQ response volumes with precision and confidence.
- Assists buy-side traders with best-execution calculations and the cost of execution in pre-trade monitoring.
“Counterparties are increasingly adopting quantitative investing and liquidity risk monitoring techniques to automate their trading workflows. This includes the consumption of increasing amounts of alternative data and using new methods of fixed income pricing analysis such as AI analytics like Overbond’s COBI-Pricing LIVE algorithm,” continued Mr. Magdelinic.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides systematic price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
For more information, contact www.overbond.com.
Media Contact
Ted Harvey,
Aspectus Group,
t: +44 (0) 20 8167 7163 | m: +44 (0) 7515 961 906 | w: www.aspectusgroup.com
Overbond Launches AI Sandbox For Building Fast Prototypes
MONTREAL, TORONTO and NEW YORK – September 30, 2019 – Overbond Ltd., fixed income capital markets fintech for AI predictive analytics, has announced the launch of COBITM Sandbox, structured data and AI modeling environment for building fast prototypes. COBITM Sandbox is delivered as part of Overbond Montreal based R&D Labs, a partnership with HEC Montreal and Concordia University, as well as the Institute for Data Valorization (IVADO).
Overbond R&D Labs and COBI(TM) Sandbox source one of the deepest vertical data stacks for fixed income capital markets AI modeling, including traditional and alternative data sets. Clients can test AI prototypes focusing on advanced AI applications for bond pricing of illiquid securities and issuers, bond price forward, price momentum, liquidity scoring, fundamental analysis and modeling the shape of yield curves.
“Overbond R&D Labs and COBITM Sandbox offer to our clients structured environment for rapid prototyping. Advanced models and AI capabilities are exposed to reduce development and research costs in key use cases for our clients by at least 10x” said Vuk Magdelinic, Overbond CEO.
Data cleansing and normalization layer is applied in COBITM Sandbox so that clients can start driving meaningful AI modeling results without lengthy data sourcing and data structuring IT integration projects that usually need to be completed first and can last over a year.
Advanced algorithmic output such as bond price momentum recommendations, pre-trade ideas, pricing tension signals and buyer preference monitoring are made available to Overbond clients through its cloud-accessible platform for front-end visualizations. Overbond also offers bond pricing feeds via on-demand near-real-time API access.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides systematic price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Media Contacts
Stephen Miles
Overbond | Public Relations Director
+1 416 559-7101
stephen.miles@overbond.com
20 Richmond Street East, Suite 600
Toronto, ON M5C2R9
Overbond AI Opens R&D Labs in Montreal
MONTREAL and NEW YORK – August 14, 2019 – Overbond Ltd., a fixed income capital markets fintech for AI predictive analytics, announces the opening of its Montréal-based R&D Labs as well as a partnership with HEC Montréal, Concordia University and the Institute for Data Valorization (IVADO).
Overbond R&D Labs is a new member of the accelerator Fintech Station and larger venture community hub Espace CDPQ. R&D Labs will source one of the deepest vertical data stacks in the world for fixed income capital markets AI modeling, including traditional and alternative data sets. Overbond disclosed that R&D Labs will be staffed with more than 30 master’s, doctoral and post-doctoral fellows from HEC and Concordia University focusing on advanced AI applications for bond price forward, price momentum, liquidity scoring, fundamental analysis and modeling the shape of yield curves.
“Accurate prediction of bond prices with advanced AI is an important area of new research and applications in capital markets. We are pleased to partner with Overbond to provide opportunities for master's, doctoral, and post-doctoral fellows to be part of this exciting initiative,” said Cody Hyndman, Lead professor from Concordia University.
“The dynamism of Montreal’s financial markets and AI communities are allowing Montreal to attract cutting edge projects. . We are pleased that Overbond has chosen Montreal as the home base for this advanced Financial AI initiative that will eventually staff more than 30 Quebec researchers” said Pierre Fitzgibbon, Minister of Economy and Innovation of Quebec.
“Our R&D Labs will be offering to our clients a sandbox environment for rapid prototyping. We will be exposing all advanced models and AI capabilities to reduce development and research costs for our clients by at least 10 times,” said Vuk Magdelinic, Overbond CEO. The sandbox environment for rapid prototyping will be made available to Overbond clients as of September 2019. Data cleansing and normalization layer will be applied so that clients can start driving meaningful AI modeling results without lengthy data sourcing and data structuring IT integration projects.
Montréal International, Greater Montréal’s economic promotion agency, welcomes the arrival of this new AI player. “Quite a number of foreign companies are investing in the area. Our team has supported over 30 AI projects in the past two years, with investments totalling $500 million,” said Hubert Bolduc, President and CEO of Montréal International.
Investissement Québec, which works hard to attract new foreign investments to Québec and to support international subsidiaries established here so that they can continue to expand their activities locally, hailed Overbond’s investment project. “We’re delighted to welcome a player of Overbond’s calibre to Québec. The stability of Montréal’s financial ecosystem and the power of its network and pool of talent in artificial intelligence provide the perfect conditions for a company like Overbond to grow even faster,” said Guy LeBlanc, President and CEO of Investissement Québec.
All advanced algorithmic output such as bond price momentum recommendations, pre-trade ideas, pricing tension signals and buyer preference monitoring are made available to Overbond clients through its cloud-accessible platform for front-end visualizations. Overbond also offers bond pricing feeds via on-demand near-real-time API access.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides systematic price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Media Contacts
Stephen Miles
Overbond | Public Relations Director
+1 416 559-7101
stephen.miles@overbond.com
20 Richmond Street East, Suite 600
Toronto, ON M5C2R9
Overbond AI Expands Bond Pricing Algorithm For G-10 Global Currencies,
Sources New Liquidity and Cross-Border Access
TORONTO and NEW YORK – June 14, 2019 – Overbond Ltd., the first end-to-end fixed income markets fintech platform for AI predictive analytics, has launched COBI-Pricing International (COBI PI), bond pricing AI algorithm that can price yield curves in all G-10 global currencies, measuring issuance likelihood based on cost of capital benefits and cost of swapping proceeds between currencies. Based on proprietary Overbond AI Bond Buyer Matching algorithm launched earlier this year, Overbond sources new liquidity and cross-border access integrating buying preferences from traditional and non-traditional investors in all G-10 local markets.
COBI (Corporate and Government Bond Intelligence) is a comprehensive suite of Overbond algorithms and analytics tools that systematically price bonds and identify trade ideas across global fixed income market. COBI-Pricing is an advanced AI algorithm family which makes ongoing observations of secondary market pricing in peer-issuer clusters, issuer fundamentals, investor behavior, buying-patterns and rebalancing events. COBI-Pricing identifies pricing tension and relative value ‘cheap’ or ‘expensive’ market signals. The new algorithm is calibrated by traditional and non-traditional bond buyer preferences, sector concentration, cross-currency classifications, credit rating profile and historical bond price trending analysis. A variety of pre-processed data inputs flow into COBI-Pricing algorithm, to generate best-fit yield curves and comparisons with yield curve shapes across all issuer peers. Algorithms analyze more than 5,800 issuer curves and more than 3,100 institutional investor portfolios to optimize pricing output.
“We are excited to offer COBI bond pricing algorithm tuned in all G-10 currencies and provide enhanced liquidity sourcing to our clients” says Vuk Magdelinic, CEO of Overbond. “our clients now can systematically identify global set of most attractive issuance or investment opportunities, incorporating non-traditional liquidity pools specific to each individual local market”.
Overbond COBI-Pricing will advance systematic monitoring of bond prices across G-10 currencies and as such market liquidity and inherent price volatility. COBI-Pricing International helps issuers identify immediate benefit of issuance in different currency pairs and recommends timing window. Algorithm helps institutional investors lower liquidity risk and enhance cross-border access by providing robust pre-trade analytics monitoring global opportunities. Dealer underwriters on the other hand can achieve client revenue diversification and enlarged bond distribution benefits.
New algorithmic bond price recommendations, including pre-trade ideas, pricing tension signals and buyer preference monitoring are made available to Overbond clients through its cloud-accessible platform for front-end visualizations. Overbond also offers bond pricing feeds via on-demand real-time API access.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides systematic price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Media Contacts
Stephen Miles
Overbond | Public Relations Director
+1 416 559-7101
stephen.miles@overbond.com
20 Richmond Street East, Suite 600
Toronto, ON M5C2R9
Overbond Expands Bond Liquidity Sourcing With New AI Algorithm For
Matching Bond Buyers and Non-Traditional Demand
TORONTO and NEW YORK – March 27, 2019 – Overbond Ltd., the first end-to-end fixed income markets fintech platform for AI predictive analytics, has launched COBI Matching, bond buyer matching AI algorithms suite, a new proprietary non-traditional demand sourcing and liquidity management automation solution.
COBI (Corporate and Government Bond Intelligence) is a comprehensive suite of Overbond algorithms and analytics tools that systematically price bonds and identify trade ideas across global fixed income market. COBI-Matching is an advanced AI algorithm family which makes ongoing observations of investor behavior, buying-patterns and rebalancing events. COBI-Matching identifies a set of traditional and non-traditional bond buyers, focusing on sector concentration, cross-currency classifications, credit rating profile and buying patterns. A variety of pre-processed data inputs flow into COBI-Matching algorithm, to generate best-fit bond buyer recommendations. Algorithms analyze more than 2,900 investor portfolios and rank investors’ interest based on their existing holdings and quarterly rebalancing.
“We are excited to offer enhanced liquidity sourcing to our buy-side clients as well as global issuers and dealer underwriters” says Vuk Magdelinic, CEO of Overbond. “Issuers or dealer underwriters now can systematically identify non-traditional liquidity pools and investors can benchmark their portfolio rebalancing decisions”.
Surviving next major liquidity crisis will not be as simple as merely selecting quality defensive bonds. In a market with no liquidity, price performance can be volatile and indiscriminate of credit fundamentals. COBI-Matching helps insulate investors from liquidity risk by providing robust pre-trade analytics and benchmarking. Issuers and dealer underwriters on the other hand can achieve investor diversification and liquidity benefits.
New algorithmic recommendations, including trade ideas, pricing tension and buyer preferences are made available to Overbond clients through its platform for front-end visualizations. Overbond also offers digital investor engagement software module that can seamlessly intake and benchmark investor preferences and appetite across large universe of comparable portfolios.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies and regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Media Contacts
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Overbond solves for SEC N-PORT regulatory requirement with new bond pricing
and liquidity risk management automation
TORONTO and NEW YORK – January 15, 2019 – Overbond Ltd., the first end-to-end fixed income markets fintech platform for AI predictive analytics, has launched COBI Pricing, a new proprietary bond pricing and liquidity risk management automation solution.
COBI (Corporate and Government Bond Intelligence) is a comprehensive suite of Overbond algorithms and analytics tools that systematically price primary bond quotations and secondary market bonds.
COBI-Pricing is an advanced three-phase AI algorithm ensemble engineered to measure best-fit correlations with respect to company or country fundamental credit valuation and secondary market pricing for their bonds across sector peers and markets conditions at large. Models are tuned for different liquidity scenarios. A variety of pre-processed inputs flow into COBI-Pricing’s algorithm, to generate bond pricing output.
“Over the past two years, we have witnessed profound changes in the fixed income marketplace with counterparties increasingly adopting quantitative investing and liquidity risk monitoring techniques” says Vuk Magdelinic, CEO of Overbond. “New regulatory requirements to price and monitor liquidity for all bond positions are forcing buy-side users to look for automation as manual reconciliation approach is not feasible”.
In 2017, SEC launched Liquidity Risk Management regulation that buy-side funds need to comply with mandating reporting and flagging of all fixed income positions as liquid, moderately liquid or illiquid. Due to the illiquid nature of the fixed income market, bond trades are relatively infrequent and consequently pricing data has a lot of gaps. This makes it especially hard to accurately report liquidity metrics to the regulator.
Automation needs to be applied to fill the bond pricing and liquidity gaps accordingly to meet regulatory reporting compliance. COBI-Pricing handles the problem of sparse bond pricing data, by filling the gaps with balance sheet fundamentals, peer sector benchmarks, and primary new issue quotations, Overbond extracts directly from a network of treasury groups it works with. Examining 15-year deep pricing history AI ensemble algorithm is then applied to get best fit price for bonds. Illiquid bond positions in portfolios with only minimal trading activity now have accurate price and liquidity metric for regulatory reports.
About Overbond
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics.
Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides price discovery and predictive analytics to all counterparties in the fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Media Contacts
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Overbond Expansion in U.S. Multiplies Bond Issuance Opportunities; New Digital Channels to Increase Fixed Income Market Liquidity
Overbond expands operations with digital omni-channel strategy and New York office to target $40 trillion U.S. bond market
TORONTO and NEW YORK — November 17, 2017 — Overbond Ltd., the first end-to-end Capital Markets platform for primary bond origination and fixed income deal execution, has expanded real-time access to the Overbond Platform to all US corporate issuers and institutional investors by extending key functionality via desktop and mobile applications for all operating systems. Overbond has also expanded its presence in the US with the opening of a New York office in Grand Central Tech.
Enhanced Market Data and Analytics for All Devices
Overbond’s proprietary machine learning and powerful predictive analytics capabilities are now delivering real-time credit investment opportunities to investors via mobile and desktop applications and smart notification systems on both iOS and Android devices. The new mobile application distributes COBI (Corporate and Government Bond Intelligence) Opportunities and has already delivered more than 3,000 credit investment opportunities. It will extend the service’s reach to 5,000 new U.S. based market participants to bring a new supply of bond issuance, creating much needed new liquidity in the corporate debt markets.
Overbond has also enriched its big data analytics suite for primary bond market quotations through new platform integrations with Egan-Jones Rating Company (EJR), Moody’s and Standard & Poor’s and credit ratings data, complementing existing integrations with Thomson Reuters and DBRS.
New Advisory Board Spanning Canada and the U.S.
To support its expansion into the U.S. market, the company has appointed a cross-border, senior Overbond Investors and Advisors that brings extensive expertise across all facets of capital markets, investment banking, and financial technology. Board members include NYC-based Jamie Grant, Global Head of Fixed Income and Enterprise Market Data at Thomson Reuters; and Grace Schalkwyk, CEO of Gramercy Digital Strategy Advisors.
“The outstanding leaders that have joined our Advisory Board will play an important role as we expand and strengthen Overbond’s presence in U.S. capital markets,” said Vuk Magdelinic, CEO of Overbond.
Grant, Schalkwyk, Frias are joined on Overbond’s advisory board by Karen Basian, Board Director at GoEasy and Managing Director at Newtopia; Michael McCarthy, CEO at MSI Solutions; Philip Poulidis, Strategic Advisor at eleven-x and Net Cognitive Partners, as well as entrepreneur and Angel Investor; Brendan Kenalty, Director of Marketing at L3 Wescam; Rokham Fard, serial entrepreneur and founder of TheRedPin; and, Gyan Chandra, Vice President at IBM Canada.
In partnership with Greenwich Associates, Overbond is hosting a thought leadership discussion on Wednesday, November 29 at 1 p.m. ET on “Improving the Debt New Issue Process”. Participants can register to attend here.
About Overbond
Overbond is rapidly transforming how global investment banks, institutional investors, corporations and governments connect and access the primary fixed income market. Overbond's fully-digital platform for primary bond issuance eliminates inefficiencies, provides higher transparency, optimal price discovery and investor diversification for all counterparties in the primary bond market. The company’s client base includes some of Canada’s largest corporate issuers, spanning the energy, utilities, financial services, and telecoms industries. Overbond is headquartered in Toronto with offices in New York. For more information visit https://www.overbond.com
Media Contact
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Swap Pricing Calculator Added to Overbond Corporate Bond Intelligence Toolkit
Overbond offers industry-wide access to new COBI Swap Pricing calculator. Proprietary technology caters to surge in cross-border bond issuance
TORONTO and NEW YORK — May 8, 2017 — Overbond Ltd., the first end-to-end Capital Markets fintech platform for primary bond origination, has unveiled its new Corporate Bond Intelligence Tool (COBI) Swap Pricing calculator with advanced analytics and visualisation. The digital tool helps treasurers more effectively evaluate funding costs in multiple currencies and markets simultaneously.
Overbond’s COBI Swap, powered by Thomson Reuters data, is the first institutional-grade swap calculator that is offered industry-wide to fixed income capital markets participants on a non-subscription basis.
The proprietary tool has been developed in response to the 40 percent surge in Canadian corporations issuing bonds offshore in the U.S. and Europe, equating to $157 billion in 2016 alone, and then swapping back into Canadian dollars – a trend examined in Overbond’s new “Cross-Border Bond Issuance Dynamics” study.
The COBI Swap enables corporate treasurers to better navigate structural changes in the fixed income market, access offshore bond markets, and achieve lower funding costs, along with natural hedge capabilities and funding diversification.
“Timely and accurate swap pricing is an essential tool that enables treasurers to more opportunistically access international markets to meet their debt funding requirements,” said Vuk Magdelinic, CEO of Overbond. “This app is a continuation of our fresh, innovative, and transparent approach to providing bond market participants with a diverse offering of critical capabilities and insights. We are pleased to offer this new technology industry-wide as an open platform, accessible on a non-subscription basis.”
Advanced features include real-time swapped equivalent rates for prospective new issues, instantaneous computation of CAD and USD single currency interest rate and cross-currency swap rates, and interactive swap curve visualisation for seamless comparison of implied funding costs against different benchmarks and in multiple markets. Overbond’s COBI Swap is unique in enabling a user to price up to five swaps in different tenors and rate types simultaneously.The app also provides the facility to download and export reports.
At launch the COBI swap pricer calculates USD/CAD swaps and will be expanded within weeks to include USD/EUR, a feature which will significantly benefit U.S. corporations.
To access the new Overbond COBI Swap Pricing please click here.
View and download the “Cross-Border Bond Issuance Dynamics” study.
About Overbond
Founded in 2015, Overbond is rapidly transforming how global investment banks, institutional investors, corporations and governments connect and access the primary fixed income market. Overbond's fully-digital platform for primary bond issuance eliminates inefficiencies, provides higher transparency, optimal price discovery, and investor diversification for all counterparties in the primary bond market.
The company's growing client base includes investment-grade corporate issuers that are looking to better manage their large borrowing programs, some of which include $20 billion in outstanding bonds. The Overbond network has now reached over 100 active institutional investor and large corporate issuer users, and is expected to double in the next quarter.
Overbond is headquartered in Toronto with operations in New York. For more information, please visit https://www.overbond.com
Media Contacts
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Wattpad, Wealthsimple and Overbond Join the Upside Foundation's 150x150 Challenge to Canadian Startups to Give Back
Over 75 Canadian startups have already pledged to donate equity to charity
TORONTO, ON, April 4, 2017 — Today The Upside Foundation, a national charity that makes it easy for early-stage or high-growth Canadian companies to give back in a meaningful way, announced the launch of their campaign, 150×150: Turn Equity Into Charity. The campaign aims to grow the number of companies who have pledged to give back to 150, as we celebrate Canada’s 150th birthday. Canadian startups who make the pledge will donate a small portion of their equity to The Upside Foundation (typically in the form of stock options), which are converted to cash upon a liquidity event and donated to the charity of the company’s choosing. The Upside Foundation is also announcing several prominent Canadian startups who have taken the Upside pledge, including Wattpad, the Toronto-based entertainment company for original stories, as the first company to kick-off the 150×150 challenge.
“The Upside Foundation provides an easy solution for both early-stage startups and high-growth companies who want to give back but don’t necessarily have the time or money,” said Rob Antoniades, Board Chair and Co-founder of The Upside Foundation. “Through this national campaign, we hope to empower 150 Canadian startups to take the pledge to donate a portion of their equity and help build a stronger future for Canada.”
The Upside Foundation is partnered with Pledge 1%, a global movement founded by the Salesforce Foundation and others to inspire companies around the world about the benefits of early stage corporate philanthropy. Through Pledge 1%, over 1800 companies have donated one per cent of their equity, people or product to charity. In Canada, over 75 companies have already taken the Upside pledge, including Hubba, which raised Series B in funding in December 2016. New members include Wattpad, Wealthsimple, and Overbond, with additional members to be announced leading up to Canada’s 150th birthday.
“At Wattpad, we believe startups aren’t just about profits, they’re about giving back to communities, at home and abroad. We’ve already made a remarkable impact on millions of people’s lives around the world. Today, we pledge to join the 150×150 campaign to demonstrate our continued commitment to positive social impact,” said Allen Lau, Wattpad co-founder and CEO. “Whether you’re in the early stages or a well-established start-up nearing exit, it always makes sense to support charities that serve your users and mean something to your team. If you haven’t already joined the Upside Foundation, what are you waiting for? Join the 150×150 campaign today!”
Any Canadian startup or private high-growth company can take the Upside pledge by committing stock options or warrants that will be converted to cash at the time of an exit or IPO, and donated to a registered Canadian charity.
“I’ve always believed in giving back to the community,” said Vuk Magdelinic, CEO of Overbond. “I’m proud that we have now found a way to make Overbond’s success mean that charities in the community will win alongside us.”
To date, there have been two exits from the Upside network, including BlueCat Networks, which sold for $400 million in February 2017; BlueCat CEO, Michael Harris donated the proceeds from a portion of his stock options to the Enbridge® Ride to Conquer Cancer® benefiting the Princess Margaret Cancer Centre. The first company to exit was Understoodit, who was acquired by EventMobi in 2013 and donated their equity proceeds to the East York Learning Experience and Mentoring Junior Kids Organization. The Upside Foundation is led by a coast to coast Board of Directors and Advisory Board of industry leaders and partners with leading incubators, accelerators and investors – creating a supportive community for members to be a part of.
“People work at startups because they want to effect change, and the Upside Foundation enables startup employees to have a meaningful impact on their community,” said Mike Katchen, founder and CEO of Wealthsimple. “Our team is proud to join the 150×150 challenge.”
How Companies Can Take the Pledge
The Upside Foundation encourages Canadian companies to join those who have already taken the pledge.
- Companies will need to fill out the online pledge form found on The Upside Foundation’s website and a representative will be in touch.
- Once the pledge form is received, companies will receive detailed instructions on how to contribute from an ESOP (employee stock ownership plan) or a simple legal form, with flexibility depending on the stage of the company.
About The Upside Foundation
The Upside Foundation is a charitable organization that allows startups to give back by donating equity in their company to Canadian charities. Early stage companies pledge stock options or warrants to The Upside Foundation, convertible into a small portion of equity.
To learn more about The Upside Foundation visit: www.upsidefoundation.ca
DBRS Credit Ratings Integrated with Overbond Platform
Primary Bond market investors, issuers, and dealers will be able to access and analyze DBRS ratings data and links to issuer-level research reports directly from Overbond platform
TORONTO and NEW YORK — December 14, 2016 — DBRS, a global provider of credit ratings, and Overbond, the first fully-digital platform for primary bond issuance, announced today an arrangement to provide participants in the primary bond origination market with access to DBRS ratings data and proprietary DBRS research reports, integrated into the Overbond platform.
The dramatic rise in primary bond market transaction volumes has increased the demand for credit ratings information. The integration of the DBRS ratings data within the Overbond platform allows for greater efficiency throughout the bond issuance process, and provides market participants with valuable and timely credit rating information regarding their portfolio investments and data analysis.
"Investors that look at the credit ratings of company or government debt as part of their considerations regarding different bonds now have direct access to this information from within the Overbond platform," said Vuk Magdelinic, CEO and co-founder of Overbond. "The integration of DBRS proprietary RatingsNow data into the Overbond platform provides investors, issuers, and dealers easy access to data that supports informed investment decision-making, and evaluation and monitoring of risk."
This integration provides Overbond users with access to credit event alerts and rating actions via the Overbond platform. Additionally, this information will allow users the ability to analyze and visualize historical ratings data.
"DBRS is pleased to be working with, and providing ratings information to Overbond as they seek to increase technological innovation and efficiencies in the capital markets", said Doug Turnbull, Vice Chairman – Head of Canada for DBRS.
About DBRS
DBRS is an independent, privately held, globally recognized credit ratings agency with offices in Toronto, New York, London, Chicago and Mexico City. Founded in 1976, DBRS is a rapidly growing, international ratings agency. DBRS’s four decades of experience and strong track record provide the foundation to seek out new opportunities and to make targeted investments that align with its core ratings operations. As the world’s fourth-largest rating agency, DBRS’s approach and size allow it to be nimble to respond to our customers’ needs in their local markets and large enough to provide the requisite expertise and resources. DBRS rates more than 2,400 issuer families and nearly 50,000 securities worldwide.
About Overbond
Founded in 2015, Overbond is rapidly transforming how global investment banks, institutional investors, corporations and governments connect and access the primary fixed income market. Overbond's fully-digital platform for primary bond issuance eliminates inefficiencies, provides higher transparency, optimal price discovery, and investor diversification for all counterparties in the primary bond market. The company's growing client base includes investment-grade corporate issuers that are looking to better manage their large borrowing programs, some of which include $20 billion in outstanding bonds. Overbond is headquartered in Toronto with operations in New York. For more information, please visit https://www.overbond.com
Media Contacts
Stephen Bernard
DBRS Inc.
212-806-3240
sbernard@dbrs.com
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Overbond Integrates Thomson Reuters Fixed-Income Market Data with Overbond Platform
Access to Thomson Reuters fixed income market data and market analytics within the Overbond platform optimizes price discovery for participants in the primary bond origination market
TORONTO, ON and NEW YORK, NY — (Marketwired - November 03, 2016) — Overbond Ltd., the first fintech platform in the new bond issuance market, today announced a partnership with Thomson Reuters that will see fixed income market data and analytics integrated within the Overbond platform. Through Thomson Reuters Labs, the companies will also be exploring opportunities to drive further innovation in the fixed income capital markets through collaborative research and development.
Overbond is the first fully-integrated platform to directly connect corporate and government bond market issuers with dealers and fixed-income investors. The proprietary platform features end-to-end processing capability and a support framework for primary bond origination transforming primary bond issuance into a fully-digital, transparent, and secure process from pre-deal research straight through to deal execution.
Overbond's cloud-based platform modernizes all aspects of bond origination by providing secure communications, price discovery, and custom reporting and analytics, while reducing operational risk and transaction costs for issuers, dealers, and investors. With secondary market liquidity significantly reduced, it is challenging to benchmark and price discover new bond offerings. The integration of the Thomson Reuters data product suite is designed to improve the flow of information and increase transparency by providing Overbond users with access to essential data and analytics required for effective price discovery in the primary bond origination market.
"Access to Thomson Reuters' data universe and market analytics within the Overbond platform optimizes price discovery for participants in the primary bond origination market," said Vuk Magdelinic, CEO of Overbond. "Through our partnership with Thomson Reuters, the Overbond platform now provides market participants with unparalleled price discovery capabilities to help them navigate what is currently a very challenging fixed income market."
"This integrated offering from Overbond is a step forward in addressing current secondary market liquidity challenges and enabling digital bond origination," said Jamie Grant, Global Head of Rates & Credit at Thomson Reuters. "Thomson Reuters' open platform strategy enables us to support innovation across financial markets. We look forward to working with the team at Overbond to develop innovative new solutions that solve some of the most complex challenges faced by the participants in the primary bond market, such as transparency and efficient allocation of capital."
Future product collaborations between Overbond and Thomson Reuters will be facilitated through Thomson Reuters Labs - Waterloo Region.
About Overbond
Founded in 2015, Overbond is rapidly transforming how global investment banks, institutional investors, corporations and governments connect and access the primary fixed income market. Overbond's fully-digital platform for primary bond issuance eliminates inefficiencies, provides higher transparency, optimal price discovery, and investor diversification for all counterparties in the primary bond market.
Overbond recently closed a $4.5 million seed financing round with Morrison Financial Services. The company's growing client base includes investment-grade corporate issuers that are looking to better manage their large borrowing programs, some of which include $20 billion in outstanding bonds.
Overbond is headquartered in Toronto with operations in New York. The company emerged from the MaRS fintech cluster and the Communitech technology innovation super-cluster -- two globally renowned centres of technology and innovation. Overbond's momentum is rooted in the collective strength and experience of its team in the disciplines of fintech software development, capital markets, and technology and legal compliance gained via Wall Street, Bay Street, and Silicon Valley. For more information, please visit https://www.overbond.com
Media Contacts
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
Overbond Secures $4.5M in Seed Financing
Injection of Capital Positions Overbond to Transform Investment Banking and Bond Issuance Market
TORONTO — June 16, 2016 — Overbond Ltd., the first fintech platform for digital bond issuance, has closed a $4.5-million seed financing round with Morrison Financial Services Limited. The deal marks a significant step forward for the company as the first fintech entrant into the new bond issuance market. Overbond plans to use the financing to expand its fully-digital primary bond issuance platform.
“Overbond’s experienced team is making a significant impact in institutional capital markets,” said David Morrison, president of Morrison Financial. “Our investment combined with Overbond’s vision will no doubt have a significant impact on how new bonds are issued.”
Overbond brings benefits to everyone in the primary bond market — higher transparency, better price discovery, and investor diversification. It also helps to streamline all stages of the process from bond origination through deal execution, analytics and communication.
“We look forward to the next phase of working with our clients – investment banks, corporate and government bond issuers and fixed-income investors – to help investment banking and bond issuance transition to a digital approach,” said Vuk Magdelinic, CEO of Overbond.
Charting the Way in Digital Bond Issuance
Earlier this year, Overbond introduced Overbond BPS, a cloud-based solution that streamlines dealer-issuer communication and provides advanced market analytics. Every year corporate treasurers receive on average 2,314,900 bond market updates by email and consume 125,000 hours of their time in managing this information in Canada alone. This problem is orders of magnitude bigger in the U.S. Overbond digitizes the end-to-end process, allowing dealers to focus on their clients’ needs.
About Overbond
Toronto-based Overbond brings all bond market participants together through a platform that makes new bond issuance digital, transparent, and secure. Overbond connects corporate and government issuers with dealers and investors directly. Overbond emerged from the MaRS fintech cluster and the Communitech technology innovation super-cluster – two globally renowned centres of technology and innovation. Overbond’s momentum is rooted in the strength and experience of its team, which comprises industry professionals in the fields of fintech software, capital markets, technology and legal compliance – a team whose experience draws from Wall Street, Bay Street, and Silicon Valley. For more information, please visit https://www.overbond.com
Media Contacts
Stephen Miles
Public Relations Director, Overbond
Tel: 1.416.559.7101
stephen.miles@overbond.com
