Global currency trading exchange Currenex has introduced a service for central treasury operations to manage foreign exchange transactions on behalf of their smaller subsidiaries.
The new product, FXinternal, has been released to half a dozen corporations including Sara Lee and Royal Dutch/Shell Group. The service is designed to increase efficiency between subsidiaries and their central treasuries, giving corporations improved price discovery on aggregated trades and better control of internal transactions.
“Many multi-national companies seek to increase centralisation and control of FX transactions initiated by a large number of their subsidiaries around the world,” states Lori Mirek, Currenex president and CEO. "FXinternal allows these companies to streamline intra-company transactions to significantly improve internal efficiencies and increase the potential economies of scale by executing aggregated transactions on behalf of the whole corporation.”
FXinternal will allow one or more regional treasury centres to act as online internal counterparties for spots, forwards, swaps, loans and deposits and then generate external covering trades with Currenex’s member banks. The treasury centres can then download the resulting internal and external trades into their treasury management systems for a complete STP solution.
The technology deployed for FXinternal conforms to the Currenex/Royal Dutch Shell-inspired Twist (Treasury Workstation Integration Standards Team) standards for interoperability across FX trading platforms.