What is Baltex?
Baltex is a central, neutral and FCA approved Multilateral Trading Facility for dry freight derivatives developed by the Baltic Exchange, the world’s only independent provider of daily dry bulk shipping indices and route assessments. The platform brings traders, brokers, shipowners and charterers to one place, producing a more efficient market.
Baltex is designed to bring liquidity, price transparency, counterparty anonymity and a more efficient clearing process to the global freight derivatives market.
Regulatory change has also acted as a catalyst for the development of Baltex and trading is closely monitored by the market surveillance team. A growing need to reduce risks in the clearing process has also been delivered with Baltex’s provision of straight through processing. A transaction’s clearing status is displayed in real time, i.e. ‘cleared’ or ‘pending’.
All live prices can be seen by Baltex screen members, but the trader’s identity is kept anonymous to all except the nominated broker. As well as a live trading screen, a view only option is available to those who simply want to see the depth of the market.
Baltex is easy to set up and use and enables a user to create a bespoke screen layout. It has built-in warnings which can be tailored to traders’ needs and offers API compatibility with in-house systems.
Baltex for brokers
Baltex has been developed for use by both principals and brokers. FFA brokers can apply to join Baltex and traders can nominate brokers on individual trades, or set up a default broker on the system. Traders can allow their broker to input prices on their behalf, or work prices nominated to them. Brokers can only see the identity of prices nominated to them.
For more information on Baltex, please get in touch with one of the team.
Tel: +44 (0)20 7369 1670