The indexing giant will integrate the trading platform’s AI-pricing and liquidity measures into its portfolio construction analytics tools and fixed income indices.
Conversely, MarketAxess said it plans to leverage MSCI’s ESG ratings to create more liquid sustainable fixed income portfolios.
The pair said the goal is to improve trading efficiencies through actionable data at a time when the institutional investment community's needs are becoming increasingly complex.
Henry Fernandez (pictured), chairman and CEO of MSCI, said: “As bond markets continue to evolve beyond over-the-counter trading coupled with compressed management fees, investors seek to effectively analyse and index fixed income securities.
“MSCI’s strategic collaboration with MarketAxess will empower investors with portfolio analytics and index products, in addition to offering them tools and robust datasets in growing areas of interest, namely ESG.”
Rick McVey, chairman and CEO of MarketAxess, added: “This collaboration provides an opportunity to further enhance our mutual clients’ trading outcomes by enabling them to power their portfolio construction process with MSCI’s advanced analytics.”