Overbond to Integrate European Fixed-Income Transaction Data from Deutsche Börse for AI Training

Overbond, a leading API-based credit trading automation and execution service in the global capital markets, reached an agreement with Deutsche Börse Market Data + Services regarding the newly launched Clearstream Bond Liquidity Data offering. Through the agreement, Overbond clients will have access to market insight into instrument liquidity and trading activities via a fixed-income post-trade dataset on Eurobonds settled by Clearstream.

Collaborating with Deutsche Börse and Clearstream, Overbond will be able to access settlement-level fixed-income transaction data derived from the 170 million transactions that Clearstream processes annually across 100 currencies and 60 domestic markets. Since the bond market is an over-the-counter market and most bonds are still traded over the phone, the availability of settlement-layer records presents a valuable opportunity for Overbond to augment the data it obtains from electronic platforms.

Overbond trains its AI model using six months of historical data to produce pre-trade pricing and liquidity analytics. The integration of Clearstream transaction data for European instruments and binding quote data from Overbond's partners' all-to-all trading platforms will yield the most comprehensive European AI training data set, thus enabling better-informed decision-making for fixed-income trading in the EU.

Vuk Magdelinic, CEO of Overbond, commented: "Complete and accurate data is a foundational tool for achieving consistent profitability in the bond markets. Incorporating Clearstream data into the training set for Overbond AI is a game-changer. It allows us to create a great tool for traders of European debt and enables them to automate up to 40% of their trades using Overbond."

Alireza Dorfard, Head of Market Data + Services at Deutsche Börse, said: "This partnership is a great milestone for the fixed-income industry as it combines our bond settlement data with Overbond's AI and cloud-based technology. It is in line with our ongoing efforts to collaborate with partners on providing state-of-the-art solutions in financial markets."

Guido Wille, Head of Eurobonds Business at Clearstream, added: "Being at the heart of the Eurobond market, Europe's largest securities market, it is Clearstream's mission to increase transparency and therefore efficiency for all participants. This partnership is a great step on this journey, providing the market with comprehensive, up-to-date and high-quality bond settlement data."

Overbond's AI will leverage this data set to create a strong fixed-income trading data set for Europe, and improve the accuracy of its liquidity scoring, risk tiering, and margin modeling. These enhancements will be accessible to clients of Clearstream.