Tag: Thomson Reuters

Thomson Reuters

Multi-Dealer Liquidity on the Rise

Although the latest FX committee turnover data hold no terrors for other channels, a longer term trend does seem to be confirmed that more volume is heading towards the multi-dealer model, especially those on a disclosed basis. Colin Lambert takes a look.The historically clichéd method for a customer to execute an FX hedge was to call three or four banks and ask for a price. Surprisingly, even as relatively recently as late 2017 customers were still telling Profit & Loss and other industry surveys that they still preferred to pick up the phone, but more recent data suggest this is no longer the case and that customers are moving to the e-channel for their FX needs.

Multi-Dealer Liquidity on the Rise

Although the latest FX committee turnover data hold no terrors for other channels, a longer term trend does seem to be confirmed that more volume is heading towards the multi-dealer model, especially those on a disclosed basis. Colin Lambert takes a look.The historically clichéd method for a customer to execute an FX hedge was to call three or four banks and ask for a price. Surprisingly, even as relatively recently as late 2017 customers were still telling Profit & Loss and other industry surveys that they still preferred to pick up the phone, but more recent data suggest this is no longer the case and that customers are moving to the e-channel for their FX needs.

Thomson Reuters Veterans Depart Following Blackstone Acquisition

A number of long-serving staff members have left Refinitiv – previously branded as Thomson Reuters Financial & Risk unit – since it was acquired by a consortium led by Blackstone in October.

Although a spokesperson for Refinitiv declines to comment, Profit & Loss understands that Mechelle Magante, Susan Gammage, Lorraine Ferrari, Jim Ball, Paul Callahan and Bob Bricken have all left the firm. All of them were based in New York.

Magante joined then-Reuters in 2004 as an FX product specialist and stayed on after the firm merged with the Thomson Corporation in 2008. At the time of her departure, Magante was a senior FX relationship manager.

Refinitiv Expands Data Service via Amazon Cloud

Refinitiv, formerly the Financial and Risk business of Thomson Reuters, has announced that its Elektron real-time data delivery using Amazon Web Services (AWS) is being expanded.

In a recent survey of 250 financial firms across the globe, Refinitiv found that over 90% of firms surveyed said that they will use public cloud for the majority of their market data needs in less than four years. Further, 24% of them said that they expect to use public cloud for the majority of their market data needs within just one year.

In a release issued today, Refinitiv says that Elektron real-time cloud delivery can simplify access to real-time price information across the financial community and beyond by taking away the need to invest in on-premises infrastructure. The firm says that it also helps clients be more nimble by helping accelerate time to market for businesses that need access to real-time data.

The New Learning Curve: Using the Data

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.”

Blackstone Consortium Closes Thomson Reuters Deal

The previously announced deal for a consortium led by Blackstone to acquire 55% of the equity in Thomson Reuters’ Financial & Risk (F&R) business has now officially been completed.

The deal values the F&R business, which has now been rebranded as Refinitiv, at $20 billion.

Martin Brand, senior managing director at Blackstone, says: “We are pleased to close this landmark partnership transaction with Thomson Reuters. Blackstone is excited to invest in Refinitiv to pursue a business plan focused on accelerating growth through innovation, in partnership with Refinitiv’s customers.”

And Another Thing…

Regular readers will know I am unsurprised to read reports of Blackstone pondering the sale of FXall once it completes its takeover of a majority stake in Thomson Reuters F&R, because (for once, I know, before you all message me) I predicted such a thing in this column in June.
What I find interesting in the latest production from the rumour mill is how it is only the sale of FXall – Matching and the other channels are not mentioned.

Thomson Reuters FX Volumes Up, 360T Down, in August

Thomson Reuters FX volumes rose slightly in August from July, while 360T’s – which now include Gain GTX turnover – fell slightly. Both were up year-on-year. Last week Thomson Reuters reported average daily turnover in all FX products of $403 billion, compared to $398 billion in July – this represents a 9.8% increase year-on-year.
Spot FX ADV at TR across its platforms was unchanged month-on-month at $94 billion, however it was up 14.6% higher than August 2017.
Deutsche Boerse’s 360T business line meanwhile, reports ADV of $68.6 billion in all FX products, a 4.2% decline from July.

In the FICC of It

This week’s podcast roars through a huge range of subjects and features Colin Lambert lamenting the demise of “crazy” hedge funds and Galen Stops questioning how much value there really is in the swathe of market data products coming to the market.
Our two podcasters also take a look at TCA and ask, “does it really add value?” They delve deeper into the real challenges facing corporate treasuries (hint: it’s not execution) and the value, or otherwise, of them using currency overlay programmes; roll through the FX Global Code and into the end of the class action against Deutsche Bank over last look; and end up with exciting news for listeners attending Forex Network Chicago.

Thomson Reuters FX Volumes Up, 360T Down, in August

Thomson Reuters FX volumes rose slightly in August from July, while 360T’s – which now include Gain GTX turnover – fell slightly. Both were up year-on-year.
Last week Thomson Reuters reported average daily turnover in all FX products of $403 billion, compared to $398 billion in July – this represents a 9.8% increase year-on-year.
Spot FX ADV at TR across its platforms was unchanged month-on-month at $94 billion, however it was up 14.6% higher than August 2017.
Deutsche Boerse’s 360T business line meanwhile, reports ADV of $68.6 billion in all FX products, a 4.2% decline from July.