Turquoise, the multi-lateral trading facility (MTF) being set up by seven leading European investment banks, today announced both the appointment of Eli Lederman as its Chief Executive Officer and the selection of Cinnober, the Swedish technology provider, as its partner for supplying the trading platform technology. Turquoise is today also announcing that two additional investment banks, BNP Paribas and Société Générale Corporate & Investment Banking have joined the Consortium, bringing the total number of members to nine.
Eli Lederman will take on the role of Chief Executive Officer of Turquoise from 1 December. He is currently a Managing Director in Morgan Stanley's Sales & Trading Division, where he oversees the European electronic trading business for equity and fixed income products. Mr Lederman joined Morgan Stanley in New York in 1993 and was instrumental in developing the US equity electronic trading business, prior to moving to London in 2001 and establishing Morgan Stanley as a leading provider of electronic trading in Europe.
Cinnober is an independent provider of state-of-the-art marketplace technology to exchanges and OTC markets, based on the TRADExpress platform. The decision to select Cinnober came after an in-depth review of a wide range of possible suppliers. Cinnober's TRADExpress technology best matched Turquoise requirements for a state of the art, functionally rich solution with exceptional reliability and low latency.
In April, Turquoise announced that the clearing & settlement function will be delivered by EuroCCP, a subsidiary of DTCC. The combination of EuroCCP with a Cinnober platform will give Turquoise the ability to drive down the total cost of trading. The system is expected to be fully functional by the end of next year.
Turquoise will offer an innovative hybrid trading facility bringing together a traditional transparent order book - which will have the priority - and a hidden order book or "dark pool" within the same matching engine and order book.
Jan Arpi, CEO of Cinnober said: "The competition for this assignment has been fierce and delivery demands are very high, so I am delighted that Cinnober came out as Turquoise's selected technology partner. Together with the similarly innovative BOAT project, this further strengthens our position as a leading independent technology provider to marketplaces."
Eli Lederman said: "We have in Turquoise the key ingredients for success - expertise, liquidity and great motivation. The consortium has done important work for us to build upon and with my appointment we will now streamline decision-making and move this young business forward quickly. A successful Turquoise will inject competition into Europe's trading venues and improve market dynamics in terms of cost, technology and overall quality of execution. All market participants, including end-owners of assets, will share in the benefits."