Tradeweb will operate an organised trading facility (OTF) once MiFID II comes into effect following regulatory approval by the Financial Conduct Authority (FCA).
The move means Tradeweb can execute OTC derivatives trades and offer its clients more flexibility to choose the type of venue and execution method.
Tradeweb added the authorisation supports the execution of intermediate and discretionary flow and gives clients the opportunity to discover new liquidity sources and trading opportunities.
“MiFID II is a great example of regulatory reform paving the way for new business opportunities,” said Enrico Bruni, head of Europe and Asia.
“Our OTF status will enable us to cater to the varying trade execution needs of our clients across the buy- and sell-side.”
Tradeweb has operated an FCA-regulated multilateral trading facility since 2007, providing direct access to fixed income, derivatives and ETF markets.
It also operates an approved publication arrangement (APA) for reporting under MiFID II, meaning it can publish reports on trades for post-trade transparency on behalf of clients.
Tradeweb added its APA has several commitments from sell-side firms that represent around 70% of OTC non-equity trading volumes.