Day: April 26, 2018

Capitolis Goes Live with FX Credit Service

Capitolis has gone live with a foreign exchange credit switching service, Capitolis Switch.

In a release issued today, Capitolis says that its mission is to address capital markets constraints in the financial system and claims that, with the launch of Capitolis Switch, a key credit issue is addressed. The firm says that this service will enable the unbundling of execution, processing, capital and risk in FX prime broking (FXPB).

Capitolis says it is working with Citi, Jefferies and FXCM in launching this new service.

RegTech Firm Secures New Investment

RegTech specialist, Muinmos, has attracted investment from Lars Holst, former CEO of CFH Clearing, and Lars Torpe Christoffersen, an entrepreneur.

The firm itself is an automated onboarding organisation that was founded by Remonda Kirketerp-Møller in April 2012.

Holst’s 20-year career in the FX industry includes several senior executive positions at Saxo Bank and Currenex prior to co-founding CFH in 2008. He was at the helm of CFH for almost a decade, with the firm ultimately being sold to PlayTech for $120 million in November 2016. According to a release issued today, Holst will play an active role in muinmos, having been appointed as chairman of the board.

A Closer Look At: Next Generation TCA

David Wright, managing director and global head of FX electronic distribution, and Jian Chen, head of Quantitative Solutions and Innovations (QSI), at Morgan Stanley, talk about how Transaction Cost Analy- sis (TCA) is moving to real-time.

Profit & Loss: Given that all the major single-dealer platforms have a TCA component now, how do you look to differentiate yourself in this area?

David Wright: So where the post-trade TCA adds value from the client perspective is as a basic benchmarking tool for the algos that they’re running. Then on the pre- trade side where we initially differentiated ourselves was on calculating transaction costs under a number of regimes, giving clients the ability to better understand the expected execution costs of one algo versus another.

And Another Thing…

I must confess something I did not expect to come out of last week’s Forex Network London was people saying to me that they are worried about the influence of data. I should stress that they were not suggesting data was useless – rather the inference was that some of their service institutions are over-reliant upon it and, even worse, a few have seen it as a panacea and subsequently forgotten some of the more traditional values in a relationship.