e-Forex Magazine September 2019

e-Forex Magazine September 2019

READING BETWEEN THE LINES
Leveraging big data to identify new
FX trading opportunities
ML AND PREDICTIVE ANALYTICS
Where data driven learning interacts
with FX algo trading
FX ALGORITHMS
An investment manager’s ultimate
best execution solution?
EVERYTHING AS A
SERVICE
Exploring the benefits of
more flexible FX delivery
models
CRYPTOCURRENCY
TRADING
Leveraging the power
of APIs
COVER INTERVIEW
ANDREW RALICH
CEO OF ONEZERO FINANCIAL SYSTEMS

 

Reducing the burden: Exploring the opportunity cost of post-trade FX

Market Commentary

Anoushka Rayner explores the benefits of marketwide adoption of a modernised, centralised middle and back office which creates a joint record of all FX trades. The FX market is slowly being dragged into the 21st Century. Whilst front office processes have been transformed to accommodate the realities of electronic trading, other processes have been left behind. Most notably, outdated operations and credit systems which act as a significant drag on FX liquidity, as well as imposing an enormous cost burden....show more

 

FX algorithms: an investment manager’s ultimate best execution solution?

Trading Operations

Curtis Pfeiffer, Chief Business Officer at Pragma explains why one of the trading desk tools that has grown in importance are FX execution algorithms. Investment managers across the board, like their sell-side counterparts, face a challenging economic environment while simultaneously having to meet more stringent regulatory requirements such as MiFID II. The theme of ‘do more and do better with less’ is pervasive and no part of the investment manager’s organization is immune, including the trading desk. Trading desks continue to evolve under the external and internal pressures they face. As a result, one of the tools for traders that has grown in importance are execution algorithms, and in particular, FX algorithms. As one Greenwich Associates report title accurately highlighted, FX algorithms have gone from a “nice to have” to “need to have.”  ...show more

 

Automating the FX client onboarding and regulatory compliance process

Reg Tech

Keeping up to date and remaining compliant with regulatory requirements across a large number of jurisdictions is a complex and never-ending burden for financial institutions and FX trading firms worldwide. From what I’ve seen, financial institutions of all sizes are struggling and the majority, despite their best efforts, are falling short of their legal requirements. This is no great surprise as keeping up to date with the fast changing regulatory requirements all around the world requires a totally different operational approach to the methods which most financial institutions currently adopt. ...show more

 

oneZero Financial Helping to define the cutting edge of FX technology

e-Forex Interview

oneZero Financial is a leading global provider of FX and multi-asset class trading technology for the brokerage market. Its solutions enable brokers, prime brokerages and banks to centrally manage risk and exposure while allowing them to build customized liquidity pools for FX, CFD and exchange-traded products. e-Forex spoke to Andrew Ralich, CEO of the firm, to find out more about its current product mix and plans for maintaining its leadership in the future. e-Forex spoke to Andrew Ralich, CEO of oneZero Financial, a leading global provider of FX and multi-asset class trading technology....show more

 

High Touch and High Tech: FX traders can have both

Expert Opinion

In the modern world, many services have been automated to achieve maximum efficiency with minimal human effort. This effect has swept across many industries, including financial services, and it comes with both benefits and downsides. Tom Lazenga, Global Head of Sales for TNS’ Financial Services business, shares with e-Forex his insights into how FX traders can address the issues this raises....show more

 

Reading between the lines - Leveraging big data to identify new FX trading opportunities

Insights

Andrew Lane: CEO of Acuity Trading explains why understanding what the words of a news article ‘means’ to its readers, or more specifically to the global investment community as a whole, is key to finding value and opportunity in the FX markets from the news....show more

 

ML and Predictive Analytics: Where data driven learning interacts with FX algo trading

ALGOFX LAB

It’s little secret that FX businesses in many banks are struggling for profitability and adequate ROC. Coupling this with increasing regulatory data management requirements further darkens the picture. However, as Matthew Hodgson – Founder & CEO of Mosaic Smart Data - explains, there is actually a major opportunity implicit in this situation. If done well, machine learning technology, particularly in the realm of anomaly detection, can significantly enhance profitability across a firm’s FX business, including powering automation....show more

XaaS Exploring the benefits of more flexible delivery models for FX

Technology

e-Forex brings together Kieran Fitzpatrick, Head of FX at Broadway Technology, Eugene Markman, Vice President of Finance and Operations at MarketFactory, Annalisa Sarasini Chief Business Development Officer, smartTrade Technologies and Fabrice Benouaich Director, Business Performance & Insight at Finastra to discuss some of the key issues associated with the Everything As a Service model (XaaS) in FX....show more

Sucden Financial – Uniquely positioned to offer superior liquidity and pricing to FX clients

Meet the team

Sucden Financial has been offering institutional FX services for over 30 years and is a leading non-bank FX provider to a wide variety of clients who can leverage the firm’s expertise in creating & managing bespoke pools of liquidity. We talked to senior members of their e-FX team to discover more about the firms evolving product offering and how it’s working to stay at the forefront of the industry. e-Forex talks to senior members of Sucden Financial’s e-FX team to discover more about the firms evolving product offering....show more

 

Time for Hedge Funds to look into FX again

Expert Opinion

Natallia Hunik: Head of Sales at Advanced Markets and Fortex, Inc, explains why a growing number of hedge funds will be looking to leverage currency trading to their advantage and what steps they can take to get access to the market....show more

 

Kooltra - building technology to democratize capital markets

Provider Profile

Kooltra is a fast growing Canadian FinTech company with a mission to transform OTC capital markets, starting with foreign exchange and international payments. The firm’s focus is on post trade operations and driving end-to-end solutions that enable market participants to get up and running quickly and manage operations efficiently. Their solution is uniquely built on Salesforce, giving their customers access to the Salesforce Platform and the AppExchange. This architecture gives customers full control of their data, which spans transactions, cash, risk, compliance, CRM, market data, and more - all on one platform. These data can be accessed using all of the Salesforce reporting capabilities, as well as over API. Their current offering is targeted towards Institutional FX brokers, and they plan to push into FX payments in 2020. We asked Adam Katz, Founder & CEO, to tell us more about how Kooltra is leveraging this unique infrastructure to drastically reduce operating costs for downstream brokers and banks....show more

 

Leveraging the power of APIs for cryptocurrency trading

Blockchain and CryptoCurrencies

Simon Heinrich and Scott Weatherill, explore many of the issues associated with utilising APIs for trading cyptocurrencies. In September 2000, Roy Fielding defended his doctoral dissertation on the ‘REST’ (REpresentational State Transfer) software architectural style. He had a simple objective — creating a new standard for online messaging so that any server in the world could coherently talk to any other server. It was a huge step forward. To write his paper, Fielding got feedback from over 500 developers and laid out “a core set of principles, properties, and constraints that are now called REST”. ...show more

 

REGIONAL FX SNAPSHOT: THE MIDDLE EAST

Regional Provider Profile

Hussein Sayed tells us about FX in the Middle East...show more

 

Q4 Outlook: Dollar’s safe haven status should preserve 2019 gains

Currency Clips

The Dollar Index (DXY) is set to end the third quarter having gained more than two percent, and that’s even with two Fed rate cuts occurring during the period. Considering the downside risks that still plague the global economy, the Dollar is expected to hold on to its advances and end 2019 with gains for the year. The Dollar’s safe haven status has really kicked in amid US-China trade tensions and waning global growth, while pockets of geopolitical risks compound investors’ uncertainties....show more

 

USD gradual strength going into the fourth quarter

Currency Clips

Leading up to the July 2019 analysis we witnessed the EUR/USD pair gradually climb to the 1.1412 level and reach a peak, as predicted, since this period in the middle of the year the “bears” seem to have turned the tables and taken control of the trend throughout Q3. Looking forward to Q4 will this Dollar strength be able to hold up against forces of future potential FED rate cuts?...show more

 

Japan’s downgrades Q2 GDP as trade war hits business investment. What is BOJ’s next step?

Currency Clips

The Yen remains under pressure after the country’s GDP grew at a slower pace in the second quarter of 2019 by an annualized rate of 1.3% down from 1.8% growth y-o-y. Slower growth pace, weakness in the global economy and worsening trade protectionism, has intensified chances for Bank of Japan (BoJ) to deepen stimulus this month.  ...show more

 

What to look for in a Market Data vendor

FX Brokerage Operations

Conor O’Driscoll outlines why choosing a market data partner is an essential strategic decision and is much more than about data and technology. We will no longer eat a piece of chicken unless we can verify where it came from and be sure of the reputability of that source – market data should be no different. Market data is critical to the success of financial services providers. Choosing a data partner is an essential strategic decision; it is a multi-faceted process that means making sure your chosen provider has all of their bases covered. It is about much more than data and technology. The right partner must have a good cultural fit with your organization. They must understand your goals and be up to date on all best practices....show more

 

Demand for the Gold-i’s Bridge and MAM continues to rise

Sponsored Statement

Multi award-winning FinTech firm Gold-i has broadened its portfolio in recent years, with a significant focus on multi-asset liquidity management through its advanced liquidity management platform, Matrix. Whilst demand for its Matrix suite of products continues to grow amongst brokers worldwide, Gold-i’s Bridge and MAM – two of the original products in Gold-i’s portfolio – are still an intrinsic part of Gold-i’s business. e-Forex spoke to Gold-i’s CEO, Tom Higgins about the UK-headquartered firm’s range of products, in particular the Gold-i MT4 Bridge and Gold-i MAM Pro....show more

 

The Ingenuity of Unity: Why Plugit’s new YOONIT platform is set to transform the FX sector

Provider Profile

The online trading industry has come a long way over the past 25 years, but retail brokers of different sizes have long faced major operational challenges, a typical one has been the sheer volume of work involved in running a successful retail trading site. While many of the key tools are widely available off-the-shelf, the lack of a truly unified solution meant that without significant capital, staffing expenses alone made operating a brokerage a cost-prohibitive proposition. ...show more