FX Solutions. Streamlining the FX Trade Lifecycle

Size: px

Start display at page:

Download "FX Solutions. Streamlining the FX Trade Lifecycle"

Paula Owen
6 years ago
Views:

1 FX Solutions Streamlining the FX Trade Lifecycle

IHS Markit provides trading, post trade and centralized processing and connectivity solutions to the global FX market, including all of the world s largest FX banks.

2 IHS Markit provides trading, post trade and centralized processing and connectivity solutions to the global FX market, including all of the world s largest FX banks. KEY STATS In a highly diverse and fragmented industry that faces new regulations and changes in market structure, it is becoming more important than ever to build robust and efficient workflows, while maintaining the flexibility and differentiation to remain competitive. Over 20 years experience of streamlining and automating complex trading workflows and infrastructures 17+ global dealers participating in central matching and clearing workflows 150+ pre-built connectivity adaptors for FX venues, counterparties & systems 800+ trading relationships enabled via the TradeSTP network Top 20 FX banks process FX flow via IHS Markit Our solutions are widely used throughout the industry - from the world s largest FX banks to regional and specialist financial institutions A unique combination of customizable software and centralized services meets the specific requirements of all our customers Together, our FX solutions help you remove cost and complexity across the entire trade lifecycle \ 3

3 Trading Technology IHS Markit s DealHub Trading technology helps you create a complete electronic trading solution. A modular, customizable platform enables customers to combine the broadest market connectivity with tailored FX pricing and execution workflows, tightly integrated with existing systems. This powerful combination provides the distribution and the differentiation you need to stay competitive in today s efx market. TRADING CONNECTIVITY A single connection to reach multiple trading venues Fast to market, cost effective liquidity sourcing and price distribution High performance infrastructure, co-located at Equinix NY4 and LD4 MARKET DATA FEED BANKS ECNS EXCHANGES LIQUIDITY SOURCING & AGGREGATION TRADE & HEDGING Low-latency execution management with flexible logic In-line credit checking for bi-lateral carve-out and limit monitoring Integrated position management with A book and B book support Customizable business logic shapes liquidity for optimum performance Business intelligence and latency monitoring on all feeds PRICE ENGINE Liquidity and rate aggregation Price blending, filtering and spike protection Active rate management, with dynamic strategies & models Flexible customer margining on a group or individual basis PRICE ENGINE CORE PRICE CONSTRUCTION RATE CUSTOM SPREADING PRICE DISTRIBUTION HEDGING CREDIT EXECUTION TRADE STP CREDIT Automated hedging, supporting a range of algorithms & order types Live business intelligence for optimization of trading operations CUSTOMIZABLE INTERFACE Fully customizable HTML5 UI creates a differentiated customer experience Tailored workflows for clients, branch users and sales desk Supports Spot, Forward, Swap and NDF trades ECN 1 ECN 2 API 1 API 2 BRANCHES CLIENTS VENUES / APIS WEB PORTALS \ 4 ihsmarkit.com \ 5

Enterprise Post Trade IHS Markit s DealHub Post Trade platform is used by the majority of the largest global financial institutions to capture, process and publish huge volumes of high-risk,

4 Enterprise Post Trade IHS Markit s DealHub Post Trade platform is used by the majority of the largest global financial institutions to capture, process and publish huge volumes of high-risk, high-value trades. It combines with the TradeSTP publishing network to deliver a unified and highly customizable backbone for STP and post trade automation. MULTI-SOURCE TRADE CAPTURE & UNIFICATION Connectivity to the whole of the FX market with 150+ fault tolerant STP feed handlers Smart forms and text analysis for manual trade capture VOICE TRADES CHAT-BASED DEALING BANKS ECNS BROKER AFFIRMATION REGULATION COMPLIANT ARCHIVING Regulation compliant archive with query based reporting Creates a single golden source of trade details and pre and post trade interactions Normalized ticket format retains all trade and chat information TRADE NORMALIZATION Fully compliant audit trail of all trade amendments REAL-TIME OVERVIEW & A MODULAR PLATFORM FOR POST TRADE WORKFLOW Live overview of trading activity and positions across all channels, including conversational dealing REALTIME ANALYSIS RULES + PROCESSING Pre-defined modules for workflow automation e.g. trade enrichment, allocations, risk splitting, netting Real-time transparency for trading, compliance and management teams Highly configurable for roles in front, middle and back office SEAMLESS DOWNSTREAM INTEGRATION QoS layer allows high risk trades to be prioritized ahead of lower risk flow Pre-built interfaces for commonly used risk, mid and back office systems and 3rd parties Comprehensive integration with IHS Markit s Centralized FX services BUSINESS INTELLIGENCE POSITION ACTIVITY OVERVIEW RISK SYSTEMS TRADE ARCHIVE CLIENTS MODULE MODULE MODULE TRADE INTEGRATION & PUBLISHING FX CONFIRMATION REGULATORS Highly customizable business logic for unique workflows and integration with bank systems Custom modules and integrations developed on a consultancy basis FLEXIBLE TRADE PUBLISHING VIA IHS MARKIT S TRADESTP NETWORK Single hub to publish timely notices of execution to 800+ connections Direct integration into risk systems, in any desired format or protocol Flexible managed service or deployed delivery options \ 6 ihsmarkit.com \ 7

5 Centralized Services IHS Markit s Centralized FX Services were created in partnership with the industry to help firms drive more efficient post-trade processes, mitigate operational risk and comply with regulatory-driven change. By centrally matching and affirming trade details, IHS Markit automatically generates legal confirmations and creates a shared golden copy of trade information that can be used to manage lifecycle events including clearing, trade reporting and options expiry. EXECUTION VENUE CONSOLIDATED CONNECTIVITY PARTY A PARTY B REDUCED OPERATIONAL RISK Connecting key industry participants from global dealers, regional banks, asset managers, hedge funds and corporates, through to exchanges, ECNs, CCPs and trade data repositories via a single platform SUPPORTING ADOPTION OF FX CLEARING Seamless routing of matched trades to clearing houses simplifies clearing connectivity and workflows CENTRAL MATCHING SERVICE AFFIRMATION & LEGAL CONFIRMATION REALTIME EXCEPTION Automating and centralizing affirmations and confirmations significantly reduces the likelihood and impact of out trades on downstream processes TRADE LIFECYCLE Our centralized service allows customers to quickly and efficiently manage key stages of their trading lifecycle, including: allocations, novations and trade compressions ENHANCED EFFICIENCY Promoting common standards across the industry to drive more efficient and effective back office processes OPTIONS EXERCISE UTI PARING AND USI EXCHANGE SUPPORTING REGULATORY- DRIVEN CHANGE Helping industry participants adapt to new workflows and market practices mandated by regulators - from stricter reporting requirements to central clearing of OTC derivatives NETTING / COMPRESSION PROVIDER TRADE REPOSITORY REGULATORY REPORTING CLEARING HOUSE \ 8 ihsmarkit.com \ 9

6 Customizable software and centralized services to remove cost and complexity across the entire trade lifecycle Trading Technology Enterprise Post Trade Centralized Services CONNECTIVITY PLATFORM CONNECTIVITY PLATFORM MATCHING LIFECYCLE MGMT Sourcing liquidity and publishing prices across all efx channels Modular, customizable platform to manage the complete efx workflow Capturing trades from venues, publishing trades to customers Unified platform for post trade processing and workflow automation Creating a golden copy of legally confirmed trade details Managing ongoing stages in the trade lifecycle BUY SIDE SELL SIDE DEALHUB TRADING PRICE CONSTRUCTION HEDGING RATE CREDIT MGMNT CUSTOM SPREADING EXECUTION MGMT NORMALIZED TRADING CONNECTIVITY VENUE VENUE API SINGLE BANK PLATFORM NORMALIZED TRADING CONNECTIVITY ORDER SYSTEM FILLS FILLS DEALHUB POST TRADE ACTIVITY OVERVIEW POSITION MGMT RULES BASED PROCESSING TRADE ARCHIVE NORMALIZED POST TRADE FEED FEEDS TICKET FEED CONVERSATION FEED ACTIVITY FEED NORMALIZED POST TRADE FEED TRADE ARCHIVE ACTIVITY OVERVIEW POSITION MGMT RULES BASED PROCESSING DEALHUB POST TRADE STP STP RISK SYSTEMS MATCHING & LIFECYCLE AFFIRMATION TRADE REPORTING CONFIRMATION EXPIRY CLEARING COMPRESSION GOLDEN COPY OF LEGALLY CONFIRMED TRADES RISK SYSTEM CLEARING HOUSE TRADE REPOSITORY \ 10 ihsmarkit.com \ 11

7 About IHS Markit IHS Markit (Nasdaq: INFO) is a world leader in critical information, analytics and solutions for the major industries and markets that drive economies worldwide. The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational efficiency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 key business and government customers, including 85 percent of the Fortune Global 500 and the world s leading financial institutions. Headquartered in London, IHS Markit is committed to sustainable, profitable growth. CUSTOMER CARE AMERICAS t CUSTOMER CARE EUROPE, MIDDLE EAST, AFRICA t CUSTOMER CARE ASIA PACIFIC t e sales@markit.com ihsmarkit.com IHS Markit makes no warranty, expressed or implied, as to accuracy, completeness or timeliness, or as to the results to be obtained by use of the products and services described herein, and shall not in any way be liable for any inaccuracies, errors or omissions therein. IHS Markit is a registered trademark of IHS Markit Ltd and/ or one of its group companies. All other company and product names may be trademarks of their respective owners 2017 IHS Markit. All rights reserved. CW-0317-FIN

FINANCIAL MARKETS. Loan Solutions. IHS Markit s comprehensive solutions in syndicated and leveraged loans

FINANCIAL MARKETS. Loan Solutions. IHS Markit s comprehensive solutions in syndicated and leveraged loans FINANCIAL MARKETS Loan Solutions IHS Markit s comprehensive solutions in syndicated and leveraged loans IHS Markit is the provider of choice to the loan market. With our long experience in the asset class