Overbond
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Private | |
Industry | Financial Analytics |
Founded | 2015 |
Founder |
Vuk Magdelinic Han Ryoo |
Headquarters | Toronto, Ontario, Canada |
Key people |
Vuk Magdelinic (Chief executive officer) Behzad Nikzad (Chief of Data Science) |
Website | https://www.overbond.com/ |
Overbond Ltd. is a Canadian financial technology company, specializing in fixed income analytics, and based in Toronto, Ontario.
History
Overbond was founded in 2015 by Vuk Magdelinic and Han Ryoo, two fixed income experts.[1] In early 2016, it raised $7.5 million in seed financing from Morrison Financial, one of the largest seed financing rounds in Canadian history.[1][2] In January 2017, it launched a digital bond issuing service, called OverbondX.[2] In November 2017, Overbond announced it would expand to the American market, opening an office in New York.[3]
Business
Overbond's main product is a platform providing predictions for the pricing and timing of new corporate bond issues.[4] The predictions are generated through the use of neural networks, based on credit ratings and secondary trading market data.[4] Traditionally, bond origination is done manually through banks, who contact potential investors to gauge the demand for an offering, and take a significant fee for their services.[4] The company claims that its platform provides more transparency, eliminates inefficiencies associated with the traditional approach. and reduces fees for the issuer.[3] It sells access to this platform on a subscription basis to corporate clients and institutional investors. In the Canadian market, Overbond has approximately 81 of 200 frequently issuing companies as clients, and approximately half of institutional investors.[4] Clients include Burger King, Molson Coors Brewing, Alimentation Couche-Tard and BCE Inc.; it has a total of 200 clients in all.[3]
As of early 2018, Overbond had approximately 40 employees.[3]
References
- 1 2 "New fintech platform Overbond aims to disrupt 'opaque' bond market". The Globe and Mail. 2016-06-15. Retrieved 2018-07-10.
- 1 2 Ho, Solarina (2017-01-25). "Financial tech startup Overbond launches bond issuing service". Reuters. Retrieved 2018-07-10.
- 1 2 3 4 "This Canadian Startup Is Digitizing the Primary Bond Market". Bloomberg.com. 2017-11-17. Retrieved 2018-07-10.
- 1 2 3 4 "A Canadian startup applies machine-learning to corporate bond issuance". The Economist. 2018-05-12. Retrieved 2018-07-10.