Trade Stats Added to EMMA Site

The Bond Buyer - - Front Page - BY KYLE GLAZIER

PHOENIX - The Mu­nic­i­pal Se­cu­ri­ties Rule­mak­ing Board on Thurs­day un­veiled mar­ket-wide trad­ing statis­tics on EMMA that have not pre­vi­ously been pub­licly avail­able.

The new data in­clude a daily state-by-state view of mu­nic­i­pal bond trad­ing ac­tiv­ity high­light­ing the most ac­tively traded se­cu­ri­ties and is­suers. Users can cus­tom­ize re­sults based on date range, ge­o­graphic lo­ca­tion, tax sta­tus of bonds and type of trans­ac­tion. They can then sort the re­sult­ing search re­sults by par traded, num­ber of trades, price, yield, and other in­for­ma­tion.

“We are very fo­cused on trans­form­ing EMMA to meet the needs of our di­verse mar­ket­place,” said MSRB ex­ec­u­tive di­rec­tor Lyn­nette Kelly. “The web­site was con­ceived as a plat­form for investors to find in­for­ma­tion about a par­tic­u­lar se­cu­rity and make a more in­formed de­ci­sion when buy­ing

or sell­ing that bond. Now, investors and other mar­ket par­tic­i­pants are seek­ing a broader view of mar­ket ac­tiv­ity to in­form their de­ci­sion-mak­ing. The MSRB is in a unique po­si­tion to pro­vide free pub­lic ac­cess to in­ter­ac­tive tools for un­der­stand­ing mar­ket trends.”

The new statis­tics, which are to be up­dated daily, are avail­able on EMMA’s “Tools and Re­sources” tab, which also fea­tures pre­vi­ously-launched third-party yield curves and in­dices, a cal­en­dar dis­play­ing up­com­ing bond of­fer­ings, and an eco­nomic cal­en­dar show­ing eco­nomic events and mar­ket data re­leases.

“Hav­ing these re­sources on EMMA helps all mar­ket par­tic­i­pants look be­yond in­di­vid­ual se­cu­ri­ties to get a mar­ket-wide view,” Kelly said.

The MSRB has rolled out a num­ber of new fea­tures on EMMA over the past year or so, for which mar­ket groups have shown an ap­petite and the MSRB has long said it pri­or­i­tizes. In ad­di­tion to the third-party in­dices and curves, the MSRB has also added a cus­tom no­ti­fi­ca­tions fea­ture just over the past year.

The mar­ket has in­di­cated it is very in­ter­ested in fur­ther de­vel­op­ing EMMA. In Jan­uary, seven mu­nic­i­pal mar­ket groups sent the board a let­ter urg­ing it to im­prove EMMA’s ac­ces­si­bil­ity and use­ful­ness. The groups sug­gested the board hire “tech­nol­ogy and user-ex­pe­ri­ence pro­fes­sion­als” to work with mar­ket par­tic­i­pants to de­sign “a more ef­fi­cient and in­tu­itive front end” for in­for­ma­tion providers, such as is­suers and their de­signees, as well as end users, in­clud­ing investors and oth­ers.

Launched in 2008, EMMA has suc­ceeded in nar­row­ing mea­sures of mar­ket in­ef­fi­cien­cies like price volatil­ity and price dif­fer­en­tials, but has not to­tally elim­i­nated the ad­van­tage in­sti­tu­tional investors have over re­tail investors, ac­cord­ing to a re­search pa­per pre­sented at Brook­ings In­sti­tute’s an­nual Mu­nic­i­pal Fi­nance Cau­cus in July.

The MSRB will host a we­bi­nar on Sept. 21, 2017 from 3:00 p.m. - 4:00 p.m. ET to demon­strate the use of the en­hanced statis­tics fea­tures. ◽

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