Citi Integrates Rapid Addition Platforms To Boost Currency Ecommerce


US investment bank Citi has integrated two systems from trading platform provider Rapid Addition to support its growth in electronic FX trading market share.

The partnership saw Citi deploy Rapid Addition’s FIX engine for low latency trading and the Hub system for client onboarding, as part of its pricing technology for spot FX transactions. Customers can connect to the platforms in shared apartments in London, Tokyo, New York and Singapore.

Electronic trading now accounts for 80% of global client FX trading volume at Citi, and the bank’s global head of electronic FX trading and algorithmic execution, Mark Meredith, said it has become critically important that bank to be competitive in API trading, with factors such as as a key to latency and stability for the institution.

“Rapid Addition’s technology has enabled this and has helped us achieve our primary goal of increasing our relevance in this space,” added Meredith. “It also gave us secondary benefits, such as reducing the server footprint by around 70% and ensuring that we meet regulatory obligations for scalability. More importantly, it allows us to easily deploy our unique value proposition to clients, whether it is our price construction engine, execution algorithms or liquidity calibration tools.

Citi added that the demand for price transparency and automated workflow that clients see in trading other asset classes has led to an increase in electronic FX trading levels. Although liquidity fragmentation increases the costs and complexity of connecting to markets, leading clients to seek larger banks for access to liquidity hedging.

“As market fragmentation, best execution and transaction automation continue to become common themes across all major asset classes, our clients are increasingly leveraging our evolving enterprise technology to meet challenges. business challenges in their trading workflow, ”commented Mike Powell, CEO of Rapid Addition.

In March, Citi confirmed its intention to launch its FX pricing and trading engine in Singapore as part of a program with the Monetary Authority of Singapore to boost the region’s development as a liquidity hub by Asia. The platform includes proprietary pricing and a hedging algorithm, and initially offered trading in 23 spot currencies as well as two precious metals.

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