The Dealing on Own license under CySEC’s supervisory authority permits the proprietary trading of securities. MeritKapital is particularly active in the primary market of fixed income securities across a global perspective and also in identifying arbitrage opportunities on a relative value basis. Moreover, the firm undertakes investments upon event driven situations after a thorough fundamental analysis has been performed.
Utilizing its Dealing on Own license, MeritKapital can trade on a Matched Principal Broker basis by intermediating between eligible counterparties and by agreeing on matching trade and settlement dates. The firm has established relationships with a diverse pool buy and sell side counterparties alike to achieve optimal pricing for underlying clients. On less liquid, emerging market and high yield bonds the fixed income team of MeritKapital has progressively built lines with sizeable holders of the required paper which is a vital component in sourcing bonds at competitive rates. The team’s niche is in Russia and the CIS.