Day: March 7, 2019

ParFX: More of the Same

I n 2010 the FX Pure initiative was launched, which recognised that there were participants in the market that were getting a systematic advantage by using platforms that allowed them to get an advantage just by being fast. In addition, there were a number of other factors that formed an important part of the project; trading and pricing transparency and creating a trading platform with fairness and equality at its core. In 2013, the FX Pure initiative resulted in the launch of ParFX and now, almost 10 years on from the original inception of the idea, Roger Rutherford, the COO of ParFX, insists that the model and its underlying principles are as relevant today as it’s ever been.

Barclays Launches New Algo

Barclays has added a new algorithm, BARX Peg, to its e-FX trading platform.Available within Gator, the algo is designed to allow clients to minimise both the amount of spread paid and market impact by accessing Barclays’ franchise liquidity pools so that trades can be filled entirely through internalisation.The algo has five different target execution rates which provide exposure to Barclays’ liquidity through a variety of channels, including: the BARX single dealer platform (GUI), multidealer platforms and API connections. The execution rates, which represent the varying speed at which fills may occur, range from fast, which includes all 5 Barclays franchise liquidity pools, to slow, which only includes the GUI.However, Barclays notes that utilising the algorithm may reduce the certainty of execution.

And Another Thing…

The news this week that the US government has failed to prosecute another FX trader is yet another indication of both the eagerness of the authorities there to have a “head” to represent the general misconduct of bankers, as well as those same authorities’ lack of understanding as to how the FX market works. In this case, as well as that of Mark Johnson, there is more than enough evidence to indicate the “customer” knew perfectly well how the FX market operates and therefore were most definitely not “victims”.

FX Volumes Drop Sharply In February: Platforms

The three primary FX venues to report average daily volume (ADV) data have reinforced data from a second group that activity in the market was low in February.
Refinitv says it handled $87 billion in spot ADV in February, down 8.4% from January and down 23% from February 2018, while CME Group says both its futures and EBS businesses saw similar declines.
CME Group reports ADV in futures and options contracts of 762,000, which Profit & Loss estimates to be notional volume of $75.4 billion. This is a 9.2% drop month-on-month but down 30% year-on-year.

MahiFX to Exit Retail FX Space

MahiFX has announced its intention to sell its Financial Conduct Authority, Australian Securities and Investment Commission and New Zealand Financial Markets Authority licences.
The move signals an what the firm says is an “important strategic change” as it pivots away from providing retail FX brokerage services towards what it says is “core competency as a B2B technology provider to banks and brokers”.
David Cooney, co-founder and CEO of MahiFX, says, “The retail space is experiencing many of the challenges that the institutional space has been faced with for years.

XTX Appoints Two in Paris

XTX has appointed Serge Harry as chairman of the Board of XTX Markets SAS, the firm’s newly formed French entity. It has also unveiled the appointment of Geoffrey Damien as managing director, head of France.
Harry has over 30 years of experience in financial markets in various
senior executive positions at the London Stock Exchange Group, New York Stock Exchange, Euronext and Euroclear. He also currently holds directorships, as a non-executive director of LCH SA, MTS France and Curve Global.
Damien joins from Euronext where he was head of product development and projects and head of retail execution. Both men will be based in Paris.

Neal Moves to RBC, While BNY Mellon Makes Management Changes

BNY Mellon has made changes to its Markets Group following the departure of Michelle Neal, CEO of that group, who has joined RBC.Based in New York, Neal will start her new position as head of RBC’s US FICC business in June and will report into Jonathan Hunter, global head of FICC at the bank.“In this role, Michelle will be responsible for providing strategic leadership to our US FICC business in partnership with our global product, sales and regional heads. She will have oversight for all strategic and execution-related aspects of the business, including ensuring that we continue to expand RBC’s footprint and client franchise, that we manage our performance and risks effectively and that we continue to build and retain a team of top talent to strengthen our U.S. franchise.

Dolan Joins BTIG

Thomas Dolan has joined BTIG as a director in the firm’s New York office.Dolan joins following 12 years at Credit Agricole, where he worked in FX institutional and bank sales, also based in New York.Prior to joining the French bank in 2004, he was a senior FX sales/trader at Newedge for over two years. Before that, he worked as an FX trader at Goldman Sachs, Bear Stearns and Commodities Corp in a career stretching back to 1989.

Du Plessis Leaves UBS

Mike du Plessis has left his position as global head of exchange traded derivatives (ETD), macro execution, at UBS.Based in New York, du Plessis had been with UBS since 2010. Before that he spent three years as managing director, European head of fixed income listed derivatives, at Deutsche Bank.Between 2002 and 2007, du Plessis was a partner at Cube Financial, which was acquired by Societe Generale. He has also worked at Lehman Brothers, Industrial Bank of Japan and NatWest Markets in a career in financial services that stretches back to 1992.A spokesperson for UBS declined to comment on the departure of du Plessis.

ParFX: More of the Same

I n 2010 the FX Pure initiative was launched, which recognised that there were participants in the market that were getting a systematic advantage by using platforms that allowed them to get an advantage just by being fast. In addition, there were a number of other factors that formed an important part of the project; trading and pricing transparency and creating a trading platform with fairness and equality at its core. In 2013, the FX Pure initiative resulted in the launch of ParFX and now, almost 10 years on from the original inception of the idea, Roger Rutherford, the COO of ParFX, insists that the model and its underlying principles are as relevant today as it’s ever been.