MSRB adds Tradeweb AAA Municipal Curve to EMMA

The Municipal Securities Rulemaking Board announced Monday the addition of t

The Tradeweb AAA Municipal Curve to its Electronic Municipal Market Access website, the latest step in the board’s years-long effort to to centralize more such data on EMMA.

The curve is now another of several available on EMMA, and represents the board’s continued expansion of accessible market indicators on its free website. These indicators aid investors in evaluating bond prices and yields, measuring market direction and performance, and determining pricing on new bond issues. 

MSRB Chief Market Structure Officer John Bagley spoke to the board’s commitment to market accessibility. “Offering the Tradeweb AAA Municipal Curve for free on EMMA is an important enhancement to market transparency,” Bagley said. “We are always looking for ways to improve EMMA, incorporating feedback from market participants, and this was a chance to add another yield curve with hourly updates.”

Tradeweb’s AAA Municipal Curve exists alongside its Municipal AiPrice machine learning model. 

Based on select AAA-rated general obligation and revenue bonds, the curve is updated hourly with a combination of public MSRB data and data from Tradeweb’s electronic municipal bond trading platform.

The yield-curve model makes use of pre-trade observations and proprietary machine learning, resulting in a curve that is timelier than those constructed from only post trade data. Each observation is back tested before being deemed as a qualified input, allowing for reliable outputs and the continued construction of Tradeweb’s Municipal AiPrice price predictions. 

MSRB’s partnership with Tradeweb follows the board’s announcement that it will continue to invest and update the EMMA platform, which was originally launched in 2022. 

“MSRB has partnered with a number of third-party providers to bring additional tools to EMMA, such as yield curves, ratings and a new issue calendar in order to enhance transparency in the municipal securities market,” Bagley said. “MSRB is proud to provide another source of hourly municipal yield information that can help investors, issuers and other market participants make more informed and timely decisions.”

Trademark’s AAA Municipal Curve is immediately available on EMMA.