Italy
1 Country overview
MTS facilitates a regulated market for the wholesale electronic trading of Italian government bonds and other types of fixed income securities.
2 Instruments
2.1 Italian government bonds
CCTs (floating rate treasury certificate) – CCTs are currently issued with maturities of 7 years with semi-annual coupons. The first semi-annual coupon is decided by the Treasury at issuance and in-line with market rates. All other semi-annual coupons are calculated taking into consideration the yield of the last 6 month Treasury Bill (BOT) issued. Principal on all CCTs is paid at maturity.
BTPs – Fixed rate bonds with maturities of 3, 5, 10 and 30 years. The annual coupon is paid semi-annually on an actual/actual basis
BTPi – Eurostat index-linked bonds, paying semi-annual coupons. The index ratios for these bonds can be found under BTPi – Daily Index Ratios
BOTs – Treasury bills are zero coupon instruments auctioned twice a month. They are issued at a discount from par with maturity of 90, 180 or 360 days. Yield is determined on an actual/360 basis
CTZs – Zero-coupon securities with 18 and 24 months maturity are issued twice a month, together with BOTs
2.2 Non-Italian government bonds
The following instruments are quoted on the MTS Repo platform:
ATS – Austrian fixed rate bonds
BNI – French Eurostat index-linked BTAN
BTAN – French fixed rate bonds
BTC – Belgian zero coupon securities
DEM – German fixed rate bonds
DSL – Dutch fixed rate bonds
DTC – Dutch zero coupon securities
FTB – French zero coupon securities
GIL – German Eurostat index-linked bonds
GTC – German zero coupon securities
IRL – Irish fixed rate bonds
OLO – Belgian fixed rate bonds
OAI – French Eurostat index-linked bonds
OAT – French fixed rate bonds
PTC – Portuguese zero coupon
PTE – Portuguese fixed rate bonds
2.3 Non-government bonds
The following instruments are quoted on the MTS Repo platform:
Asset-backed securities – Instruments collateralised with either mortgages or public sector loans.
Quasi-government bonds – All major euro-denominated EIB's issues and eurobonds issued by the Republic of Italy.
Pfandbriefe, Freddie Mac, KFW, NRW, Kingdom of Denmark, Bank of England and Railway Network securities are listed on MTS Repo.
For a full list of available instruments, click here.
2.4 Minimum lots
Two-way quotes, fill-and-kill orders and fill-and-store orders can be formulated for a minimum quantity equal to EUR 2 million.
Increment quantities for Quotes and Orders can be formulated for EUR 0.5 million/
3 Participants
For a list of participants, click here.
3.1 Requirements
Market makers – Eligible financial institutions must have net assets of at least EUR 39 million and have traded at least EUR 20 billion in bonds quoted on MTS in the preceding year.
Market takers – Eligible financial institutions must have net assets of at least EUR 10 million.
4 Market Hours
Cash Market Hours (CET)
Pre-Market: 7:30am – 8:00am
Trading Hours: 8:00am – 5:30pm
Market Closed: 5:30pm
Repo
Market Hours (CET)
Pre-Market: 7:30am – 7:45am
Market Open: 7:45am – 6:30pm
GC allocation window: 6:30pm – 6:45pm
Market Closed: 6:45pm
Trade details and statistics are available until 9pm
5 Settlement
Trades on Italian Government bonds settle at Monte Titoli. MTS sends trade messages on behalf of both participants to Monte Titoli that creates the relevant settlement instructions. MTS participants must hold a securities account at Monte Titoli either directly or indirectly through a custodian.
LCH.Clearnet SA and CC&G are available as Central Counterparties: for CCP transactions Monte Titoli sends trade messages on behalf of both participants to the relevant CCP.
The settlement cycle is T+2. The settlement calendar follows the TARGET calendar skipping value date only on TARGET non-business days.
6 Market Data
Click to view report:
6.1 Password protected
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