Intercontinental Exchange, a leading global provider of data, technology, and market infrastructure, announced that LiquidityBook’s Order and Execution Management System (OEMS), LBX, has been integrated with the ICE ETF Hub to offer efficient access to the ETF primary market, where new ETF shares are created and redeemed.
The LBX suite is connected to ICE ETF Hub’s FIX application programming interface (API), which allows third-party platforms and ETF market participants to connect to the ICE ETF Hub platform to seamlessly and systematically manage their creation and redemption orders. LBX users are able to receive ETF creations and redemptions in real time allowing them to manage their portfolios within the OEMS for portfolio and trade management.
“By modernizing and bringing new efficiencies to the creation and redemption process, the ICE ETF Hub offers a powerful platform for accessing the ETF primary market,” said Peter Borstelmann, President of ICE Bonds. “Connecting with LiquidityBook’s LBX OEMS gives institutional investors seamless access to our workflow over a highly scalable trade management platform, and it builds on our goal of providing an open architecture framework to create a unique network for ETF market participants.”
ICE ETF Hub is an open architecture platform designed to bring efficiencies and standardization to the ETF primary trading market, where shares of ETFs are created and redeemed. The creation and redemption process is central to how an ETF ensures that its share price trades in line with its underlying net asst value and allows funds to efficiently access markets. ICE ETF Hub currently supports U.S.-listed equity, fixed income, derivative, commodity and multi-asset ETFs. ETF primary market participants also have access to functionality that facilitates the assembly and negotiation of custom basket proposals.
“Our OEMS platform helps asset managers, hedge funds and other institutional investors manage positions and transact efficiently across markets,” said Kevin Samuel, CEO of LiquidityBook. “Our cloud-based offering provides our clients an alternative to the inefficient file-to-file and spreadsheet-based processes that portfolio managers have used in the past and gives them more capacity to handle increasing order volumes, which promotes growth. We are excited to work with ICE to expand this functionality within the ETF creation and redemption process.”
Source: ICE
