Jamie Grant is President, CanDeal Markets.
What were the key theme(s) for your business in 2024?
Across CanDeal, a common theme in 2024 has been supporting our clients across multiple markets in Canada and beyond. Our clients and stakeholders participate in dynamic and challenging environments, and we partner with them in trading, data, analytics and ongoing innovation such that they, and the Canadian markets, can remain globally competitive. In our Markets business, we are seeing increased demand for the electronification of fixed income, and our volume growth is a testament to that. As data-driven insights become even more crucial, we have also seen more demand for our best-in-class pricing and analytics via our CanDeal Data & Analytics (DNA) business. Moreover, combining our DNA products with our trading capabilities enables price discovery and pre- and post-trade analytics, while minimizing benchmark tracking error and optimizing returns on a per security or holdings basis. We also continued our support of the market during the cessation of the Canadian Dollar Offered Rate (CDOR) and the transition away from Bankers’ Acceptances, which furthered the adoption of the Term CORRA benchmark rate—administered by CanDeal as currently the only benchmark administrator designated by the regulators—as the standard, accurate rate for Canada, based on price and trade data from CORRA interest rate futures traded on the Montreal Exchange.
What was the highlight of 2024?
We are seeing momentum accelerating across our business lines due to multiple dynamics at play, including the continued expansion of electronic trading and the past year’s changing interest rates. In 2024, the CanDeal Markets business hit multiple new high marks, including a daily trading record of $67.8 billion on June 3, 2024. This marks a new milestone for electronic dealing in Canadian dollar products for CanDeal’s global community of more than 2,000 participants, inclusive of Canada’s major financial institutions. By year end, total annual trading volume is estimated to be at or near $10 trillion, also a record and a more than 80% year-over-year increase. We also expanded our CanDeal DNA Reference Pricing to provide more intraday insights into the market, and launched CanDeal DNA Consensus OIS & Swap Rates and “Trademarks” to provide greater transparency into the market with the continued transition to the Term CORRA benchmark. All of this is further putting Canada on the global map as a destination for the full range of fixed income trading and investing.
What are your expectations for 2025?
We expect that we will continue to see some of this year’s dynamics, such as increased volume driven by further advances in the electronification of trading. We are also looking at the changes being driven by the next generation of professionals in the banks and investment firms who are seeking greater innovation, questioning the status quo, and investing in AI and data infrastructures. This certainly impacts how we innovate and deliver our marketplace, data, and analytics platforms and solutions.
What are your clients’ pain points and how have they changed from one year ago?
Our clients are seeking deeper insights to make smarter, competitive trading and investment decisions across various fixed income assets while dealing with multiple pressures. Spreads are tight and margins are narrow, so controlling costs is key. Market volatility and politics creates added uncertainty, and regulation always adds to the pressure. And now, financial firms of course are looking to monetize their investments in AI and compete even more efficiently. All of this points to the need for continued collaboration across the market, to drive innovation, increase strength and stability, and act as the collective voice of the markets.
