Direct Market Access (DMA)

Trading power and gas on European over-the-counter (OTC) markets

RWE Supply & Trading GmbH (RWEST) offers market participants direct access to European over-the-counter (OTC) power and gas markets through its state-of-the-art Direct Market Access (DMA) platform.

Designed for sophisticated traders, the RWEST DMA allows you to access a network of 300+ counterparties and execute trades physically or financially in the physical OTC markets.

RWEST DMA empowers third-party traders to access major power and gas hubs using the widely adopted Joule Direct trading platform, provided by Trayport Ltd. As a DMA client, you can:

  • Aggress buy/sell orders of other market participants or
  • Initiate your own orders for others to transact with

both via screen or via voice trading.

Trading through RWEST DMA, you operate as “RWE Supply & Trading GmbH X”, giving you the credibility and counterpart access of RWEST, but with your distinction in the market. 

Steps

  • 1. Access the OTC market
  • 2. Entering OTC trade
  • 3. Physical trade
  • 4. Back-to-back trade
Flowchart illustrating trading agreements and processes involving RWEST, DMA Client, Market CP, and Joule Direct.

1. Access the OTC market

DMA client accesses the OTC market in the name and on the account of e.g. RWEST 99.

2. Entering OTC trade

The DMA client enters into an OTC trade with a Market CP as RWEST 99 on behalf of RWEST.

3. Physical trade

As a result a physical trade between RWEST and the Market CP is created.

4. Back-to-back trade

Via the DMA agreement a back-to-back trade between RWEST and the DMA client is created (physical or financial), governed by the DMA agreement and the applicable trading agreement (e.g. EFET Gas, EFET Power or ISDA).

How does it work?

Set-up and underlying contracts

After execution of a Joule Direct agreement with Trayport and a DMA agreement with RWEST, you are given login credentials to Joule Direct by Trayport and can operate upon it as “RWE Supply & Trading GmbH X”. In other words, while the X distinguishes the DMA client from RWEST’s own trading business, market participants transact with you as if you were RWEST. 

Via the back-to-back trades the economic risk of any transaction is passed onto you.

Why RWEST DMA?

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Long tenor and availability

Long tenor and availability

  • Trade the curve from prompt out to the furthest tenor available in the market, subject to approval from the RWEST Credit team.
  • RWEST gives access to all the main brokers who publish prices from traders on Joule Direct
  • Based on feedback from brokers, RWEST has the longest counterparty list at 300+.
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Convenience

Convenience

  • Once you are set up on Joule Direct (where RWEST can also assist), RWEST and Trayport complete the rest of the DMA set-up for you.
  • Trading hours are 7am CET to 6pm CET on all weekdays except some core bank holidays. 
  • RWEST operations support is available on a 24/7 basis.
  • The RWEST DMA team also offers great service, including availability and timely response to all kinds of questions or requests.
  • The use of algorithms is possible.
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Operational simplicity

Operational simplicity

  • The DMA platform allows you to significantly reduce the complexity of your operations by utilising RWEST contract infrastructure, credit lines, collateralisation procedures and physical operations capabilities.
  • RWEST can customise daily trading and position reports for you.
  • We can match trade confirmations electronically via Equias or ICE eConfirm and also offer a delegated regulatory reporting service.
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Cost efficency

Cost efficency

  • Our per MWh DMA fees are extremely competitive.
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Geographic coverage

Geographic coverage

  • RWEST‘s DMA platform has a comprehensive geographic coverage of products 
    Power markets: AT, BE, CH, CZ, DE, FR, HU, NL, UK
    Gas hubs: AVTP (AT), NBP (UK), OTE (CZ), PEG (FR), PSV (IT), PVB (ES), THE (DE), TTF (NL), ZTP (BE)
  • Additional markets (IT, DK/Nordics for power; VTP (SK) for gas) are under consideration.

We are happy to advise you

Are you interested in RWEST Direct Market Access or do you need advice? Then get in touch with us!

Structured Origination – Direct Market Access

Structured Origination

RWE Platz 6
45141 Essen
Send e-mail

Structured Origination – Direct Market Access

Structured Origination

60 Threadneedle Street
London EC2R 8HP
Send e-mail