After becoming the first women to have served on the Treasury Borrowing Advisory Committee in the United States (US), Susan Estes is again making a mark as the company she founded, OpenDoor Trading LLC, becomes the first bond platform majority-controlled/owned by women, following a $10 million investment round the firm, just announced.
One of the female investors in the round made a sizeable investment, and as part of the closing of this round, Mrs. Estes and the other female owner now control more than 65% of the voting interest in OpenDoor. The round also included funding from bond trading legend John Brynjolfsson, who joins the firm’s advisory board.
Treasury Market Niche
The new round will be used to support technology and business development for the firm’s plans to launch a trading platform for Off-The-Run Treasuries (OTRT) and Treasury Inflation-Protected Securities (TIPS), with an expected launch during fall of this year.
The company is located in Jersey City which is considered an extension of Wall Street or backyard of New York City’s financial district as many prominent financial institutions are located there just across the Hudson river from downtown Manhattan.
This feedback is reflected in the features of our trading platform which we believe will result in a more credible, robust and accessible marketplace.
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Improving market liquidity
As the U.S. Treasury market is systemically important – commanding trillions of dollars across capital markets – the interest in OpenDoor has been growing from among market participants that the company is engaging including central banks, asset managers, dealers, and institutional investors.
This is because OpenDoor looks to improve liquidity within the US Treasury markets with its proposed solutions, as reflected in the monetary interest being poured into this emerging fintech company.
Commenting in a statement regarding the deal, Mrs. Estes said: “OpenDoor will provide a compelling source of liquidity to off-the-run U.S. Treasury and TIPS trading.”
She added: “It has only been possible to get to this stage – and address the most significant pain points within a new market structure – because of consistent input from participants. This feedback is reflected in the features of our trading platform which we believe will result in a more credible, robust and accessible marketplace.”
The news follows as the UK’s HM Treasury had just announced a Women in Finance charter to help ensure gender diversity in the financial services sector within the United Kingdom, as reported by Finance Magnates earlier this week.