Fixed income trading software provider AxeTrading has launched an electronic trading platform with the Indonesia Stock Exchange (IDX) using its AxeChange technology.
AxeTrading confirmed in September last year that it had been chosen by IDX as its technology partner to deploy a new electronic trading platform for the Indonesian bond market.
Known as alternative market operator System (SPPA), the new trading platform uses AxeTrading’s AxeChange technology to allow trading on the secondary market of bonds and sukuk.
“We are proud and delighted to be working with the Indonesia Stock Exchange as their technology partner to deliver this significant step in the development of the Indonesian bond and sukuk market using our AxeChange technology,” said Ralf Henke, chief executive officer of AxeTrading.
“Our AxeTrader Quoting and execution management system is the best gateway to this new trading platform. It gives dealers the tools they need to boost their trading with automated workflows to help them trade better and faster than ever before. AxeTrader gives seamless support for both voice trading and access to electronic trading in the Indonesian, Asian, and global markets.”
Indonesia is one of the largest markets for emerging market bonds in Asia Pacific with a market valuation of around $220 billion. AxeTrading said that 18 of the 20 primary dealers for government bonds (SUN) in the region are already using the SPPA platform.
“SPPA has been designed in such a way as to accommodate the needs of the bond and sukuk market players in Indonesia, with the hope of increasing liquidity and efficiency of the Indonesian bond and sukuk market,” said IDX business development director, Hasan Fawzi.
“IDX is collaborating with global bond trading solution provider, AxeTrading, to develop SPPA so that the system we are developing is a system that is applicable according to best practices and is user-friendly.”