Deutsche Börse Group has entered into a strategic cooperation with Trumid, a financial technology company that provides an electronic trading network for corporate bonds. The Group will invest ten million US dollar for a minority stake as an add-on to Trumid’s previously disclosed 28 million US dollar financing from earlier this year. Trumid will use the new funding to continue enhancing and expanding its technology offering. Both firms will work together to develop products and services for the European market.
“Trumid has already proven its ability to create a new transparent, electronic and efficient credit and bond market place in the U.S. With our investment we will gain new insight into this rapidly evolving market; and therefore we will find further ways to collaborate,” said Hauke Stars, Deutsche Börse Executive Board member and head of cash markets among other responsibilities.
Deutsche Börse’s investment will be managed by its corporate venture capital arm, DB1 Ventures. “With our latest investment we broaden our portfolio with a pioneer in bond trading with specific buy-side focus. We are pleased to partner with a top-quality team and platform with client traction and a strong vision,” said Ankur Kamalia, MD & Head of Venture Portfolio Management and DB1 Ventures, Deutsche Börse.
Trumid, headquartered in New York, is a financial technology company that offers an electronic credit-trading platform, which enables buy-side and sell-side market participants to transact directly and anonymously with one another. The platform allows market participants to collectively determine pricing in a transparent way and to execute the transaction at the market-vetted price.
“We are excited to combine Trumid’s innovative technology, deep corporate bond expertise and broad client network with Deutsche Börse’s strong brand, infrastructure, client relationships and European significance,” said Mike Sobel, President of Trumid. “Europe is a big opportunity. Through this partnership we will continue to deliver valuable solutions for our clients, now on a broader scale.”
Deutsche Börse Group is one of the largest exchange organisations worldwide. It organises markets characterised by integrity, transparency and safety for investors who invest capital and for companies that raise capital – markets on which professional traders buy and sell equities, derivatives and other financial instruments according to clear rules and under strict supervision. Deutsche Börse Group, with its services and systems, ensures the functioning of these markets and a level playing field for all participants – worldwide.
Trumid Financial, LLC, a FINRA-registered broker-dealer and wholly-owned subsidiary of Trumid Holdings, LLC, is a financial technology company bringing efficiency to credit trading through data, technology and beautifully simple products. Trumid Market Center, the company’s all-to-all electronic trading and market intelligence platform, provides corporate bond market professionals with direct access to anonymous liquidity. Trumid’s products leverage the network effect and data science to empower all credit market participants to make more informed decisions. Trumid was founded in 2014 by credit professionals with over 100 years of trading experience and is headquartered in New York City.