The Woodlands, TX, March 1, 2023 — AEGIS Swap Execution Facility (“AEGIS SEF”) today provided multiple updates on financial counterparty participation, February trading activity, and new approvals in Canada.
AEGIS SEF now has 15 financial counterparties (“Dealers”) and nearly 300 commercial end users (“Participants”) executing hedging transactions through AEGIS SEF. Each Dealer and Participant has signed definitive documentation to enable the execution of hedging transactions on AEGIS SEF.
“We are proud to host a mix of U.S. money center and regional banks, Canadian banks, and merchant traders with approximately $1.50 trillion of market capitalization on AEGIS SEF,” said Justin McCrann, President of AEGIS SEF. “Since launch, AEGIS SEF has executed nearly 120,000 contracts with over $6.4B in hedging exposure thanks to the liquidity provided by these world-class financial counterparties.”
Trading volumes on AEGIS SEF continued to accelerate in February. Average daily trade volume grew 45% from January and Q1 2023 average daily trading volume is up 161% from Q4 2022. February saw new monthly records in trades completed, products traded and number of trading entities – all demonstrating the viability, breadth and support of advisor-assisted transactions on AEGIS SEF.
On February 7, AEGIS SEF received an exemption from exchange registration by the Ontario Securities Commission. A similar exemption application in Quebec is being finalized for submission.
“These exemptions will pave the way for Canadian dealers to fully participate on AEGIS SEF, build on current liquidity, and better serve commercial end users,” said Andrew Furman, Chief Compliance Officer of AEGIS SEF.
AEGIS SEF is the first Swap Execution Facility designed and built for Commodity Trading Advisor (CTA) Broker Firms to assist their clients with permitted hedge transactions in compliance with the Commodity Futures Trading Commission and Dodd-Frank regulations. For more information on AEGIS SEF or if you are interested in executing hedges on AEGIS SEF, please visit https://www.aegis-hedging.com/swap-execution-facility.
View the official press release here.
About AEGIS SEF
AEGIS SEF (U.S.) LLC, a subsidiary of AEGIS Hedging Solutions, is a Swap Execution Facility approved by the Commodity Futures Trading Commission (“CFTC”). AEGIS SEF operates markets for commodities and other instruments. AEGIS SEF offers a venue for trading in uncleared bilateral OTC swaps through a central limit order book (CLOB), request for quote (RFQ) system, and Offline Execution Functionality (OEF). For more information, please go to https://aegis-hedging.com/swap-execution-facility.
AEGIS simplifies commodity and environmental markets for companies who manage their commodity exposures and/or emission footprints. AEGIS has unmatched technology and expertise to deliver market insights, tailored hedge strategies, efficient trade execution, and full-cycle management of hedge positions – all designed for regulatory compliance. Building on its core energy hedging capabilities, AEGIS has recently completed four acquisitions to extend its expertise in environmental and metals markets, increase its analytics capabilities and fully integrate a SaaS E/CTRM software platform. AEGIS was recently named the industry leader in hedging solutions for a sixth consecutive year. To learn more, visit AEGIS’ website at www.aegis-hedging.com.
Lauren Trice, 346-277-0971
Commodity interest trading involves risk and, therefore, is not appropriate for all persons; failure to manage commercial risk by engaging in some form of hedging also involves risk. Past performance is not necessarily indicative of future results. There is no guarantee that hedge program objectives will be achieved. Neither AEGIS SEF, LLC nor any of its affiliated entities offer a trading program to clients, nor do they propose guiding or directing a commodity interest account for any client based on any such trading program. Hedge advisory services are performed by the registered commodity trading advisor AEGIS CTA, LLC, a wholly-owned subsidiary of AEGIS Hedging Solutions, LLC.
This press release is not required to be, and has not been, filed with the CFTC. The CFTC does not pass upon the adequacy or accuracy of this disclosure. Consequently, the CFTC has not reviewed or approved this press release.