The Depository Trust & Clearing Corporation (DTCC) has launched a treasury kinetics service that provides access to US treasury transaction data in a bid to increase transparency into the repo market.
Leveraging data from the Government Securities Division of DTCC’s subsidiary, Fixed Income Clearing Corporation (FICC), the new service provides a daily summary of aggregated and anonymised trade activity including number of trades, volumes, dollar amounts and rates for delivery vs. payment (DVP) repo.
The DTCC said that, on average, FICC matches, nets and settles repo transactions valued at more than $3 trillion dollars each day.
As the repo market continues to evolve and grow, increased volatility in this sector has underscored the need for market participants to have access to data that enables them to better understand valuation, rates, and liquidity. Treasury Kinetics provides historical data dating back to 2011, allowing users to back-test current repo data against historical events.
The data set will provide market participants with a wide range of capabilities, including the ability to track stability, spot potential market dislocations, or search for the next investment opportunity, the DTCC said.
“This new service meets a critical industry need: access to a single, comprehensive data source that provides greater insight into the US repo markets,” said Tim Lind, managing director of DTCC Data Services. “DTCC Treasury Kinetics delivers one of the most comprehensive views of the repo markets available today, providing increased transparency for investors and intermediaries.”
DTCC is working to expand access to its DTCC Treasury Kinetics and other data services products by making them available on cloud-based marketplaces, beginning with Snowflake Data Marketplace, which is expected to be launched in the first quarter of 2022.