BestXecutor supports clients by leveraging the precision of BestX® transaction cost analysis (TCA) and the power of State Street’s FX Connect® trading platform. What specific client needs were you seeking to address with the launch of this groundbreaking tool?
The foreign exchange (FX) industry is challenged with inefficiencies in execution due to the overwhelming amount of data available. Clients struggle to analyze and act on this data in real-time, leading them to rely on post-trade analysis to understand their execution decisions.
At BestX, we prioritize analytics solutions to support clients in navigating complexity effectively. We developed BestXecutor to further empower decision-making at the point of trade by enabling seamless data-driven insights, eliminating the need for manual inputs and application switching.
What is BestXecutor designed to do?
BestXecutor enhances client decision-making by streamlining the process of selecting the best medium, counterparty and execution method. Through BestX, it equips FX Connect users with valuable pre-trade analytics for optimizing both request for stream (RFS) and algo execution. With BestXecutor, clients can seamlessly embed into their FX Connect workflow, benefiting from integration with our GlobalLink Digital ecosystem. This tool enables users to evaluate each deal against their BestX factors promptly. By leveraging their trading history, users can optimize spreads, minimize signalling risks and promote fair competition among providers.
What are the tool’s most notable features?
BestXecutor has a number of differentiating features that make it remarkably powerful, such as:
- A cohesive desktop experience and unified platform with single sign-on access
- Automated counterparty selection for request for quote (RFQ) and algo trading based on client preferences
- Comprehensive coverage of all FX market cash products
- Flexible panel size for spread compression and market footprint optimization
- BestX opt-in data pool for enhanced statistical significance
- Optimized performance metrics for a seamless pre-trade to post-trade process
- Integration with the GlobalLink Digital ecosystem seamlessly connecting pre-trade analytics, broad execution capabilities and post-trade functionality.
How versatile is the tool? For example, how easily can it be applied to both RFQ and algo trading?
BestXecutor works effectively for both algo and RFQ trading, offering a seamless solution for buy-side traders executing all cash FX products.
Clients benefit from transparent data and interoperability through GlobalLink Digital. With a single sign-on feature, clients can access all applications in one unified desktop experience, eliminating the hassle of multiple logins.
Sounds like simplification is very much at the heart of BestXecutor. Why is that so important?
In a volatile and complex market, creating products that offer control and ease of use is crucial. BestXecutor provides a solution where clients can explore the decision-making process effortlessly, without the trouble of adapting to a new system. The platform’s intuitive design and easy navigation present complex quant analytics in a digestible manner. Simplifying the trading process empowers users to make better-informed decisions.
What feedback have you had so far from clients who are using BestXecutor?
Clients have reported reaping benefits and experiencing process enhancements from day one, and are eager to collaborate on future developments of the tool. Moreover, the community data pool has been a game-changer for many clients, offering convenience where a significant trading history is lacking, especially during the shift to algo-based execution or when dealing with highly illiquid currency pairs.
BestXecutor enhances client decision-making by streamlining the process of selecting the best counterparty, execution and method
How is State Street uniquely positioned to deliver a tool like BestXecutor?
State Street is at the forefront of the market, combining one of the largest FX trading platforms and the solid reputation of BestX as a TCA leader. Through GlobalLink Digital, we have created an interoperable platform that seamlessly integrates these leading technologies. This unique approach empowers our clients with sophisticated, transformational tools at every stage of the trading process.