UK Treasury opts for Tradeweb and FTSE Russell for end-of-day reference pricing

Tradeweb and FTSE Russell to provide the UK Treasury with end-of-day reference pricing for gilts and treasury bills.

The UK Treasury has named Tradeweb and FTSE Russell as the future providers for end-of-day reference prices for gilts and treasury bills.

Tradeweb and FTSE Russell are currently working together to produce the ‘Tradeweb FTSE gilt closing prices’, following the UK Debt Management Office’s decision to withdraw its reference pricing.

Tradeweb will calculate the reference prices based on input data from its dealer-to-client UK gilt trading platform and FTSE Russell will manage these prices using the FTSE actuaries UK gilts index series.

Both firms will produce end-of-day reference prices “in a manner consistent with IOSCO principles,” Tradeweb said.

Global head of business development at Tradeweb, Simon Maisey, said both parties will work closely with the UK Deb Management Office to ensure a “seamless transition”.

The transition to the Tradeweb FTSE gilt closing prices at the Treasury is expected to begin in the first quarter of 2017.