Institutional Fixed Income Conference

August 03-04, 2017

Chicago, IL


On Thursday, August 3rd over 60 representatives from BDA member firms attended BDA's Institutional Fixed Income Conference at the Trump Hotel in Chicago, IL. Attendees heard from  taxable and municipal market experts, engaged in active discussions of priority market and policy issues, discussed politics and financial regulatory policy with Congressman Randy Hultgren (R-IL), and enjoyed a cocktail and networking reception.

A recap of the key issues discussed at each session is below.
Institutional Fixed Income Business and Market Structure Trends:
Discussion Leader: Kevin McPartland, Greenwich Associates
  • BDA Report Overview: Presentation and review of the Greenwich Associates / BDA middle-market dealer focused report, which can be viewed here 
  • Quality Content: How regional dealers differentiate themselves by delivering quality content and market color to investors
  • E-Trading: Changing dealer attitudes towards electronic trading
  • Regulation: How regulation is reducing the amount of time sales and trading personnel spend focused on the market and their clients
  • Liquidity: What market regulators don't understand when they state market liquidity is fine
  • MarketAxess: Two-pager on open trading can be viewed here
U.S. Municipal Credit Trends:
Discussion Leader: Matt Fabian, Municipal Market Analytics
  • Market Outlook: Municipal market rates and credit outlook
  • Pension Obligations: Credit Analysis and Pension Depletion Rates
  • Tax Reform: Does the market believe tax reform is probable? No. 
  • E-Trading: Liquidity and e-trading in a one-way market
Sales and Trading Technology:

Discussion Leader: Chris White, ViableMkts

Presentation on MBIS Municipal Hedging Product: 
Presenter: Ron Valinoti, Managing Partner, Municipal Bond Information Systems (MBIS)
  • Presentation and discussion focused on the development of a municipal spread futures contract for hedging municipal credit risk
  • To review the MBIS presentation click here.
Closing Remarks:
U.S. Rep. Randy Hultgren (R-IL) 

Congressman Hultgren (click here for bio) discussed the following issues with the BDA attendees:

  • Regulatory reform, including FINRA 4210
  • The outlook for tax reform
  • The SEC Fixed Income Market Structure Committee and the need for regional dealer participation on the committee
  • The current strong level of support in Congress for the municipal tax exemption and the importance for the municipal securities community to remain vocal proponents of the tax exemption
  • Congressional outlook for Fall 2017, including tax reform, the federal budget, and the statutory federal debt limit.