IHS Markit, Hundsun Ink Book-Building MoU
IHS Markit, a world leader in critical information, analytics, and solutions, today announced it signed a memorandum of collaboration (MoC) with Hundsun Technologies, a leading supplier of financial software and network services in China, to explore joint development of book-building solutions for bond syndication in mainland China.
Hundsun and IHS Markit will work together with the goal of improving the experience for banks, issuers, and investors throughout the bond issuance process, by seamlessly connecting all participants via solutions optimized for the needs of the Chinese market.
“There is a significant opportunity to introduce electronic book-building solutions to the bond market in China,” said Kevin Marcus, president of the Ipreo products at IHS Markit. “Working with a leader like Hundsun brings the expertise and network needed to be successful in providing new solutions to the domestic fixed income markets to benefit issuers, investors and banks.”
“We look forward to working with IHS Markit to explore how our expertise and technologies can come together to address opportunities in the bond markets in China,” said Peng Zhenggang, chairman of Hundsun. “The potential to partner in this way shows how Hundsun continues its tradition of technology innovation for our customers, ensuring our fixed income clients have access to the best solutions.”
The IssueNet, IssueBook, IssueLaunch, Deal Monitor and Investor Access services from IHS Markit are the leading electronic platforms used for bond syndication in all regions outside of mainland China.
Hundsun provides a range of technologies to institutional capital markets, supporting brokerage and trading, middle and back office and trustee operations. Hundsun’s customers include 17 of the top 20 Chinese banks as well as public funds, futures companies, exchange, and private equity firms.
Trading Technologies has partnered with Chinese clearing broker COFCO Futures.
The success of Northbound trading showed electronic execution is way forward for the bond market.
Bank can directly support foreign institutional investors in accessing China’s equities and bond markets.
Both firms are jointly planning for upcoming market and regulatory changes in Hong Kong.
The scheme has become the main channel for international investors to access China’s Interbank Bond Market.