JPMorgan and Morgan Stanley have launched their combined default credit swaps index TTRAC-X Europe with BNP Paribas on board as a third European market maker.
BNP Paribas will be a joint lead manager and joint bookrunner of funded TRAC-X Europe. Additional market makers are expected to join TRAC-X over the coming months. Each house will provide independent, live pricing, which will also be available via the Bloomberg page TRCX and Reuters.
Trac-X Europe replaces Morgan Stanley's European Synthetic Tracers programme, and JECI, the JPMorgan European Credit Index and comprises of the 100 most actively traded names in the European credit default swap market.
The service is available in funded and unfunded format, with fixed as well as floating coupons and sub sectors (TMT, consumers, industrials, subordinated financials and senior financials).
Pierre Mathieu, head of flow credit trading for Europe, BNP Paribas, says: "The standardisation provided by TRAC-X Europe further enhances the attractiveness of credit indices as an easy and liquid credit trading instrument."
He adds that the service will improve the efficiency of the credit markets in Europe.