Northern Trust has announced an agreement to acquire Bex, a provider of foreign exchange software solutions.
The bank says the acquisition will give it ownership of a platform providing algorithmic FX trading, global liquidity aggregation and transparency in execution and pricing to institutional clients worldwide. The agreement builds on an exclusive partnership between the firms announced in 2016.
“Bex has been a key differentiator for Northern Trust, increasing the depth and breadth of our global FX execution capabilities,” says Pete Cherecwich, president of corporate & institutional services at Northern Trust. “In an evolving FX marketplace, this acquisition provides a foundation for sustained growth and innovation on behalf of our clients.”
So already in early December I've had enough and think it's about time the readership did some work, so today is all about you - the readers - making a choice. These awards are called the Irrationals and today...well it's truly irrational!
Throughout our conference series this year, our editor-in-chief Julie Ros has made herself busy taking pictures of speakers socks (yes, I know, but what can I say?). Anyway, we thought it would be fun to have you decide who wore the best socks this year - and of course into the bargain we hope to ratchet up the competition levels for next year's conference series.
In the Profit & Loss 2018 Digital FX Awards, Barclays was the winner of the “One to Watch in 2018” category and, looking back now at the end of the year, it seems that the bank might be on its way to justifying this decision.
After a couple of years during which there was a clear slowdown in terms of product development within Barclays’ e-FX franchise, the bank appears to be shifting onto the front foot again.
It has made a raft of senior appointments within its FX business this year, with Alex Shterenberg hired as global head of G10 and EM e-FX trading, Jeremy Monnier as a managing director, Fabio Madar as the global head of G10 FX trading and distribution, James Hassett as global head of EM macro trading, and Mauricio Sada-Paz as global head of e-FICC product and distribution.
Avelacom announced that it has partnered with XTRD to “provide low latency access to all major crypto exchanges globally”.
The sub-millisecond market data and order routing, delivered over the Avelacom network, is designed to help XTRD to aggregate liquidity across exchanges in Asia, Europe and the US in the fastest way. In particular, this partnership should enable improved arbitrage strategies across the top 10 Asian cryptocurrency exchanges, such as BitMEX, Binance, Bittrex, Huobi and OKEx.
Commenting on the partnership, Aleksey Larichev, Avelacom’s managing director, says: “We found a big gap between the demands of our institutional clients and the typical solutions provided over the Internet. Web-based applications will never meet the expectations of institutional investors.
CME Group, which now owns EBS, reported almost no change in trading volumes for November on both the spot FX and derivatives sides of its business.
The average daily volume (ADV) of Spot FX traded on EBS was $81.6 billion in November, down 1% month-on-month and 8% year-on-year.
This is consistent with the other spot FX platforms that have already reported last month’s volumes, most of which saw only marginal changes in trading volumes compared to October.
For the 12-month period ending November 30, the ADV on EBS for spot FX was $89.6 billion, up 6% compared to the same period one year previous.
Soren Haagensen is leaving smartTrade Technologies, where he has served as director of sales for the Americas since joining earlier this year. Sources say he will be moving to a retail FX firm in the new year.
Based in New York, Haagensen joined the firm from Integral, where he worked as managing director, bank FX, Americas, for the previous two years.
The bulk of his career was spent at Societe Generale, where he spent 20 years, last managing its e-commerce product in the Americas from 2007 until his departure in 2015. Before that, he acted as the bank’s business manager for its New York FX business.
The data from the first set of FX platforms to report volumes suggests that any changes in trading activity were fairly minimal in November.
Fastmatch reported an ADV of $20.3 billion for November, up slightly from the $19.2 billion that it reported in October and the $17.8 billion that it recorded in November 2017. After seeing volumes on its FX Tape increase by 12.1% in October, Fastmatch was able to sustain this volume in November with an average of $95.3 billion being reported to it each day.
The ADV on Cboe Hotspot was $34.6 billion in November, down 5.4% from the $36.6 billion recorded in October, but marginally up year-on-year from the $33.9 billion that it recorded in November 2017.
The Cürex Group has promoted Franz Schmidpeter to senior managing director and head of global business development.
Since joining Cürex in 2014, Schmidpeter has led the development of Cürex's pre- and post-trade data analytics platform and managed significant client relationships.
Commenting on the promotion, Jamie Singleton, Cürex chairman and CEO, says: "Franz has been instrumental in developing Cürex's web-based analytics tools that provide our customers with pre-trade market intelligence and real-time, post-trade analytics to improve their trading outcomes and prove best execution compliance. At the same time, Franz has developed and manages many of our most important client relationships. This recognition and promotion is richly deserved."
ABN AMRO Clearing today has started clearing Eurex FX futures and options for its clients.
The group now provides immediate support for the “classic FX” derivative contracts with attributes including monthly and quarterly expiries, as well as the rolling spot futures product that is now live.
“Our clients have made our decision to support the Eurex FX exchange traded derivatives offering very easy,” says Michael van Dijk, global product manager, FX, at ABN AMRO Clearing. “We consistently post over 20% market shares of transactions cleared on most relevant derivatives exchanges globally.”
The Futures Industry Association (FIA) has released updated recommendations to improve clearinghouse risk management following recent market developments.
The developments in question are the placing of a member of Nasdaq Clearing’s Nordic market in default in September. The losses were sufficiently large to exceed the margin provided by the defaulter and the CCP’s own skin in the game and required the use of the commodities default fund. This was the first use of a default fund by a major CCP since a default on KRX, the South Korean exchange, in 2013.