Northern Trust has announced it has been appointed by Hermes Investment Management to provide currency management services for its Irish fund range. The bank’s service comprises portfolio overlay, share class hedging and ‘look through’ hedging solutions to help asset managers and asset owners manage and mitigate currency volatility, while actively supporting distribution strategies. It adds […]
Tag: Northern Trust
Northern Trust has named Marisa Kurk as chief operating officer of its global FX business. Based in Chicago, the bank says Kurk will drive the day-to-day enablement of GFX business strategy and operations, capitalising on strategic technology and product capabilities gained through acquisitions and partnerships. She brings more than 15 years of industry experience, in […]
One of the ongoing problems regarding the adoption of cryptocurrencies by mainstream financial firms was on full display at a fintech event hosted by the Depository Trust & Clearing Corporation (DTCC) in New York this week. The problem was highlighted by a fairly innocuous sounding question from the moderator: what is the problem that cryptocurrencies […]
Dan Torrey has joined OTC digital currency trading firm, Genesis Global Trading, in New York as head of institutional sales. He reports directly to Michael Moro, CEO.Torrey was most recently at Northern Trust, which he joined in mid-2016 as global head of FX e-commerce sales. Prior to that, he was briefly with ParFX, where he was head of FX sales for North America.The bulk of Torrey’s career was spent at EBS, where he spent 11 years in a variety of sales roles, culminating in his appointment as head of sales for the Americas.
Paul Fyda has joined Northern Trust as head of local markets in its foreign exchange business.
Based in New York, he will work with Northern Trust’s FX desks in the Americas, Europe, Middle East and Asia-Pacific regions and is available to firm’s institutional investor clients across the globe to provide support and guidance in operationally complex and highly regulated emerging markets.
“We are pleased to add a leader with Paul’s breadth of experience to our global FX business, says John Turney, head of global foreign exchange at Northern Trust.
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.”
The paradox of data is, as observed by panellists at Forex Network Chicago, while the data itself is becoming cheaper and more easily accessible than ever before, the resources being allocated to analysing it are increasing, bringing with it increased costs.
“The core fundamental cost of collecting data and storing and processing it is cheaper than ever,” observed John Ashworth, CEO of Caplin. “The premium is going to be on the labour force that will be doing the work on the data.”
Northern Trust is partnering with Lumint Corporation, a provider of currency management services, to enhance its suite of FX solutions for asset managers and asset owners globally.
With this partnership Northern Trust is aiming to strengthen its platform for currency hedging, including portfolio overlay, share class hedging and look-through hedging. The banks says that the partnership will also help support further innovations in hedging program management and analytics to meet the evolving needs of global investors.
“Northern Trust is committed to delivering best-in-class foreign exchange services and we are excited to announce this strategic partnership with Lumint for currency hedging. This enables us to offer a differentiated and innovative solution to our clients who are looking to delegate their hedging needs and benefit from our expertise, coupled with Lumint’s powerful tools and technology,” says John Turney, global head of FX at Northern Trust Capital Markets.
The structure of the FX market means that transaction cost analysis (TCA) within this asset class is unlikely to look like it does equities for the foreseeable future, according Dan Torrey, global head of FX e-commerce sales at Northern Trust.
TCA is clearly much easier to perform in the equities market because it has a consolidated tape, which provides one uniform data set from which firms can analyse the cost and effectiveness of their execution. This, says Torrey, turned equities TCA into “more of a science that’s very hard to dispute”.
By contrast, he points out that, not only is FX an OTC market without a central tape, but that the reference points for pricing has become more diverse over the past decade.
Dan Torrey, global head of FX e-commerce sales at Northern Trust, explains how technology can help revolutionise regional banks’ e-FX businesses.
Torrey concedes that, prior to joining Northern Trust, he had been uncertain about whether or not claims that the increasing availability of technology is helping to democratise the FX markets were accurate.
However, he says that his own experience in building out Northern Trust’s e-commerce business has convinced him that these claims are not overblown.
“What’s happened is that through the technology, being able to bring in house better e-commerce pricing, being able to reduce a lot of latency, being able to expand the pairs in which we’re competitive and then to provide that downstream to our customers, means that we’re not just another custodial bank offering to them, we can actually competitively go after third-party accounts where we couldn’t’ get them before,” says Torrey.