The Debt Market in a Nutshell
Primary debt market processes rely on workflows between issuers, intermediaries and investors. Conventionally, the market lacks consistent execution methods – market actors communicate through a variety of channels and spend a lot of time reconciling inconsistent data across disconnected systems.
Therefore, when we talk about improving the efficiency of the primary debt market, the solution needs to be integrated and focused on minimizing the distance between market actors.
Nasdaq Primary powered by Onbrane is built with this mindset.
Our goal is to better connect issuers, intermediaries and investors, to become the platform where they not only meet to do business but do it more efficiently and sustainably.
Further, we take a keen eye toward building dedicated functionalities that consider the unique needs of each market actor involved in debt negotiation and issuance.
Nasdaq Primary for Issuers
Nasdaq Primary provides treasurers looking for financing with a platform to handle all their pre-issuance activities: environmental, social, and governance (ESG) Framework, documentation management, product offering) in one place.
The platform then facilitates issuers’ communication with their intermediaries.
Treasurers can send their yield curves to all their dealers and brokers from one user-friendly interface, negotiate terms and issue the resulting debt product.
By digitalizing their activity on Nasdaq Primary, issuers get the following key benefits:
- More financing options – we provide issuers with increased reach in terms of markets and geographies, and the possibility to cover more debt products and investors around the world.
- Reduced manual errors and administration – By being integrated with treasury management systems and automating post-trade, Nasdaq Primary facilitates a full STP process, saving treasurers time and reducing operational risks.
These features allow treasurers more room to focus on the most important parts of their job—better cash management and data analysis. - Growth of ESG capabilities – In today’s market climate, treasurers need to be equipped with advanced tools for ESG.
Nasdaq Primary provides a one-stop solution for ESG debt issuers, allowing them to collaboratively build and promote their framework with counterparts, gain unparalleled visibility in the investor community and issue ESG debt products with ease.
Nasdaq Primary for Intermediaries
Nasdaq Primary allows dealers and brokers to work with all their issuers and advise them on how to structure successful debt issuances in one place.
At the same time, they can work with their investors on the platform to ensure market fit and efficient debt product distribution.
Keeping their complex internal policies in mind, we have developed a step-by-step onboarding process for dealers and brokers.
We practically eliminated administrative procedures on our end, and gradually integrated intermediaries’ IT systems with Nasdaq Primary, allowing them to engage with daily operations on the platform as soon as possible.
Here are the key benefits of the platform for intermediaries:
- Remain at the center of the negotiations – On Nasdaq Primary, dealers and brokers negotiate in a bilateral way with all their issuers and investors. They can renegotiate the terms (amount, starting date, maturity, rate, etc.) using a flexible offer/counter-offer system until they reach an ultimate deal.
- Enhanced Market Presence – Having a single place to negotiate with all their counterparts, Nasdaq Primary intermediaries are better positioned to be more reactive to their client’s needs. Furthermore, the platform makes it easier to discover and open lines of communication with new issuers and investors on the platform.
- Open platform – Nasdaq Primary is connected to the debt market ecosystem (clearers and IPAs), allowing Intermediaries to buy a debt instrument on the platform and sell it elsewhere and vice versa.
Nasdaq Primary for Asset Managers
Nasdaq Primary allows investors and asset managers to be more engaged in the debt issuance process. In the end, the platform helps them be better positioned to choose the right investment opportunities.
The main benefits of Nasdaq Primary for the buy-side include:
- Transparent market access – On Nasdaq Primary, asset managers have direct digital access to the primary debt market and leverage comprehensive market data to identify the most suitable investment opportunities for their portfolios.
- Direct Fund Allocation Management – Asset Managers can link order flows from their order management systems to negotiations on Nasdaq Primary and manage fund allocations directly from the platform. Nasdaq Primary is connected to industry-leading portfolio management software, such as Aladdin, via APIs, allowing asset managers to enjoy effortless execution and minimize operational risks.
- Unparalleled view of Sustainable investment opportunities – Nasdaq Primary provides a transparent and comparable view of ESG frameworks and issuers, allowing investors to laser-focus their decisions and effortlessly track the impact of their sustainable investments.
Get on board with Nasdaq Primary powered by Onbrane
This is just the beginning of Nasdaq Primary.
Nasdaq and Onbrane teams work together to reinforce Nasdaq Primary’s capabilities and bring more functionalities and integrations to issuers, intermediaries, advisors and investors so they are equipped with powerful tools that answer today’s demand for security, efficiency and transparency.
Soon, issuers will have access to more liquidity and more markets, intermediaries will have more issuers and investors to work with and investors will have more investment opportunities.
Take action to become part of our exciting journey. Contact us to discuss the impact that digitalizing your debt issuance through Nasdaq Primary can bring to your organization!
