Bringing you live news and features since 2013
Bringing you news, views and analysis since 2013
Japan flag

28275

NEX Data and JBOND launch Japanese Yen Repo Index Rate

RELATED TOPICS​

NEX Data, which delivers independent market intelligence and price information for OTC Data, and JBOND, an electronic platform for trading in Japanese Repurchase agreements, have launched the JBOND NEX Repo Index to measure the effective cost of funding for Japanese government bonds.

The first Japanese repo index, it was launched in response to considerable interest from financial community.
 
The Japanese Yen (JPY) repo market has been very active of late with the average month-end outstanding for 2017 reaching JPY160 trillion. The JBOND NEX Repo Index provides an insight in to the overall cost of funding in the dealer to dealer market by taking a volume-weighted average of repo rates from trades which use Japanese government bonds as collateral.
 
Launched on 18 June, the JBOND NEX Repo Index is calculated daily by NEX Data as the benchmark administrator, using eligible one day repo transactions traded on JBOND and centrally cleared through the Japan Securities Clearing Corporation (JSCC).
 
JBOND is the primary venue for the trading of Japanese government repurchase agreements and as such, these benchmarks will reflect accurate and existing prices in the marketplace. As with all NEX Data Index products, the methodology used is consistent with IOSCO Principles for Financial Benchmarks.
 
Kevin Taylor, Managing Director of NEX Data, says: “By combining NEX Data’s index calculation expertise and transparent methodology with transaction-backed data from the JBOND platform, we are bringing additional transparency to the Japanese government bond markets and helping the market better assess the cost of funding.”
 
Kiyomi Saito, CEO JBOND, says: “The Japanese Government Bonds (JGB) market is one of the most mature markets in the world. Yet JGB Repo market information available to global investors is very limited. This index will certainly provide far greater market transparency.”
 
NEX Data already offers a large selection of transaction-backed data in the market, seeking to provide enhanced transparency. NEX Data administers the RepoFunds Rate benchmark family across a number of EU markets, as well as the EBS JPY Benchmark, the first fully electronic, transaction backed reference rate for the Japanese yen. NEX also contributes to key reference rates in JPY, given that EBS is the leading trading platform globally for spot trading in Japanese Yen.
 
The new fixings will be available via the JBOND and NEX Data website.

Latest News

New research from Carne Group reveals fund managers expect alternative asset classes to see the..
Brown Brothers Harriman & Co has expanded its relationship with AllianceBernstein (AB), by adding to..
The trading and investment platform eToro has extended its proxy voting feature to all stocks..

Related Articles

The trend of private equity firms acquiring businesses in the professional services sector continues with CVC Capital Partners eyeing a possible buyout of EY’s Italian consulting branch...
The trend of private equity firms acquiring businesses in the professional services sector continues with CVC Capital Partners eyeing a..
Pension funds
UK defined benefit (DB) pension plan sponsors could have access to GBP 1.2 trillion in surplus assets over the next decade, industry research reveals...
UK defined benefit (DB) pension plan sponsors could have access to GBP 1.2 trillion in surplus assets over the next..
Tim Crawmer, Payden & Rygel
Tim Crawmer and Frasat Shah of Payden & Rygel write that higher yields are attracting more demand from investors. Also, given that equities had a strong year last year, big funds have taken some chips off the table in equities and put them into fixed income...
Tim Crawmer and Frasat Shah of Payden & Rygel write that higher yields are attracting more demand from investors. Also,..
Lady justice
Top marks for the Pensions Regulator (TPR) whose efforts to improve resilience in the UK pension funds’ liability-driven investment (LDI) strategies received glowing commendations from the Bank of England in its March report...
Top marks for the Pensions Regulator (TPR) whose efforts to improve resilience in the UK pension funds’ liability-driven investment (LDI)..
Subscribe to the Institutional Asset Manager newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by