Even some of the globally most known liquidity platforms lack the ability of adapting to the unique characteristics of retail trading. A strong liquidity pool has no value if the bridge component that connects the liquidity to the trading platform or front-end is weak, and the other way around. In the current competitive state of the retail FX trading business, effective liquidity management strategies really can make all the difference between success and failure.
The growth in electronic trading and recycling of liquidity has resulted in increasing fragmentation of the market, with many electronic venues or sources of liquidity available to market participants. MOEX and B3 aggregation provides access to new pools of liquidity from local liquidity providers. Refinitiv FX Aggregator provides high-performance execution management and allows for the implementation of execution algos as well as venue-specific algos to maximise trade performance.
A backup solution for multi-user systems with no downtime required to perform the backup. Netting is a method of reducing risks in financial contracts by combining or aggregating multiple financial obligations to arrive at a net obligation amount. Create numerous comprehensive reports such as detailed account statements and scheduled https://www.xcritical.in/ reports by email with parameters configured to your own personal specifications. Utilise real-time and historical data to plan ahead and maximise your business potential. Our team can take care of all the functions that a classic dealing desk implies — from setting up to communicating with providers and resolving customer issues.
FX aggregators are not only used by institutional and retail forex brokers, but also by professional individual traders to access liquidity from multiple sources and efficiently execute large volumes of FX trades. In addition to accessing liquidity, FX aggregators are widely used by brokers as a technology solution to optimize trade execution, enhance pricing competitiveness, and improve operational efficiency in the FX market. Enables exchanges and brokerages to access multiple liquidity providers and sources, ensuring that their users have access to the best possible prices and execution speeds. We offer a range of integration options, including APIs and FIX connectivity, to make it easy to integrate with existing systems. Well anchored in the retail market for some time, the company made the conscious decision in 2019 to open up the technology to the institutional space. The parties said that sell-side FX broker dealers are now more than ever looking for single source FX trading solutions that allow them to stay ahead of the game in the fast moving and competitive FX markets.
The platform has seen its volume rise markedly in the last year and has won financial backing from the likes of Goldman Sachs, Citi and HSBC. Electronification offers end-to-end workflow solutions allowing them to reduce risk, save costs and improve operational efficiencies. Flexible electronic solutions such as those offered by Refinitiv are crucial to meet the challenges of trading firms in Asia-Pacific, where markets range from frontier to highly developed.
In a nutshell, Soft-FX Liquidity Aggregator offers seamless and hassle-free trading operations, giving you the ability to create optimal conditions for your
clients at an affordable cost. Discover how this fintech product can transform your trading experience and provide your clients with the best possible liquidity
options. Aggregated liquidity solutions, can serve as a sustainable way out, however, in order for brokers to get the most out of their liquidity applications, it is essential to have the right mix of personnel, costs and infrastructure. Physical proximity to all central trade servers of major exchanges, liquidity providers, banks and other financial institutions, allows us to minimize trade request up to a hundredth of a millisecond.
- Even though the client segment and geography may differ, the technology is essentially the same,” says Wang.
- We offer a variety of training materials including videos and demos to help our clients understand the business.
- And aggregation may also find it can have an equally profound effect on the rapidly developing world of crypto and digital assets where liquidity is similarly fragmented and market participants are struggling to manage their liquidity.
- Examples of risk management filters include the Shift filter and Margin level filter.
- Equiti Group Ltd is the parent company of some of the most progressive FX and CFD brands and prime brokerage providers in the industry.
When it comes to increasing volume-based trading income, the aggregator can be a useful tool in a number of ways. First of all, execution rules can be set individually for each instrument, which helps to avoid the loss of profit. Secondly, spread costs can be optimized, by executing orders directly between clients, which allows bypassing external suppliers. The aggregator also reduces counter-positions on different suppliers and minimizes the use of margin and rollover costs. Our liquidity solution includes a set of services that will help you free up as much time as possible for actual business management. The components offered in this solution are designed to provide comprehensive support to all key success drivers — capital preservation, liquidity maintenance, competitive yields, and risk management.
That fragmentation largely remains today, despite a certain number of venues having been acquired by other entities in the ensuing years as many of these liquidity pools continue to operate as siloed businesses within the larger entity. Soft-FX TickTrader Liquidity Aggregator is a powerful software product designed to streamline trading operations by aggregating liquidity from
a variety of external and internal sources. By connecting this component to your trading platform, your clients gain access to a liquidity pool with equal trading rights for all participants. The Bridge ensures that all transactions are executed at the best available price by sending a request to liquidity providers as
soon as information about transactions is received from the trading platform.
They then need to build liquidity pools and pricing functions that are unique for each type of flow. The example above contains a complete diversification for the base currencies of customer groups, according to margin accounts based on the same base currencies. In this case, brokers will work with the same amount of capital as their clients, without risking volatility for each currency. Using Refinitiv FXall, banks in Asia can offer competitive prices in CNH and other currency pairs, improving efficiency and risk management for both themselves and their buy-side clients.
FX aggregator refers to software or a platform that consolidates foreign exchange rates from multiple liquidity providers, allowing forex brokers to compare and execute trades at the best available prices. FX aggregators typically aggregate quotes and liquidity from various sources, such as banks and exchanges, in order to provide traders with a comprehensive view of the FX market and access to competitive pricing. At the very beginning, the concept of the product was to develop a “bridge” that connects the MT4 platform with external liquidity providers.
We also provide reports on the liquidity
provider executed quantity and trading server reports for MT4, MT5, and TickTrader servers. There are several approaches to aggregation which can be both beneficial and detrimental. This is most commonly done from multiple sources to minimize the risks from using a single liquidity provider.
The Aggregator is designed to give you simple, cost-efficient and reliable access to high-quality liquidity pools. Combined with your trading platform, this component delivers you access to a liquidity pool configured specifically for your business and your customers. By aggregating pricing from exchanges in Russia and Brazil, Refinitiv is able to support forex liquidity aggregation tighter pricing and better liquidity, increasingly important at times of market stress when markets can become illiquid. Composed of a client’s personal area and a back office intended for aggregation of payments and management of clients accounts. Liquidity aggregation from external and internal sources, market depth feed generation and orders execution.
Refinitiv FX Aggregator is a fully hosted infrastructure, offered as a co-location service or as a cloud-based service, allowing clients increased flexibility. Refinitiv FX Aggregator is part of a suite of Refinitiv products designed to offer end-to-end workflow efficiency. You can contact our consultants with any questions regarding our products or the integration of our services into your business.