European banking and financial services provider BNP Paribas has entered into a new equities trading partnership with New York-based global electronic market maker GTS.
BNP Paribas and GTS have signed a new memorandum of understanding (MOU) to expand into the US equities market.
BNP Paribas global markets Olivier Osty said: “We are delighted to be expanding our initial transformative collaboration with GTS into the US equities space through the MOU we have signed today.
“BNP Paribas is committed to delivering efficient, high quality and innovative liquidity solutions to our clients and this represents significant progress in the evolution of capital markets activities.”
Signed at BNP Paribas’ annual flagship Global Markets conference in London, the latest MOU is said to expand on an existing collaboration on US Treasuries to apply to US equities.
In November 2017, both firms have first entered into a strategic collaboration to leverage GTS’ trading and technology capabilities and offer clients with enhanced liquidity and improved pricing in the US Treasuries secondary market.
After the establishment of collaboration, the secondary electronic market share of BNP Paribas with clients in US Treasuries has increase from 1.5% to 4.0%.
BNP Paribas is focusing on expanding its operations in the US market through offering its clients with advanced liquidity solutions.
GTS co-founder and chief executive Ari Rubenstein said: “The GTS initiative with BNP Paribas is a game-changer for clients. We are putting the most sophisticated AI and machine learning to work with outstanding results.
“The overall outcome is tighter spreads, lower costs and overall price improvement when accessing the equities and fixed income markets.”
GTS, which is an electronic market-maker for equities, ETFs, fixed income and FX, is claimed to be the New York Stock Exchange’s largest designated market maker (DMM) and maintain markets for more than 1,100 public companies.
With operations presence in 73 countries, BNP Paribas has three main operations, including domestic markets, international financial services and corporate and institutional banking.
The company provides services to two client franchises such as corporate clients and institutional investors.