Through an alliance announced today by TraderTools LLC and Smart Trade Technologies, asset managers now can gain direct access to all liquidity providers, including banks, portals and Electronic Communication Networks (ECNs) through a single Financial Information eXchange (FIX) protocol gateway.
This will allow brokerages and individual traders to trade directly with each other, eliminating intermediaries.
TraderTools is one of the leading suppliers of electronic Foreign Exchange (eFX) white-label software solutions. Smart Trade Technologies is a financial markets' leader in delivering Liquidity Management Systems (LMS) transforming the way banks automate best execution across asset classes.
With this alliance, TraderTools' customers will be able to add and manage liquidity providers and simplify connectivity to them using one common Application Programming Interface (API). They will also be able to communicate with third parties and third-party applications via the FIX gateway.
Additionally, TraderTools and Smart Trade will extend the alliance to integrate the Smart Trade Transaction Platform, STTP, and the TraderTools electronic Foreign Exchange (eFX) STPlatform so that customers will have a best-of-breed order management system (OMS) and liquidity management system (LMS). From this platform, they can create an internal market to aggregate FX liquidity from multiple sources, create prices, internalize and cross trades, provide for algorithmic and complex event processing (CEP) trading and provide for a full eFX white-label solution.
"This alliance provides TraderTools with the opportunity to market and support our LMS technology directly to their FX customers, while, at the same time, further expanding our presence in the growing FX marketplace," said Harry Gozlan, CEO at Smart Trade. "This clearly is a win -win situation, especially for TraderTools' customers."
"The FIX protocol is fast becoming an industry standard," noted Yaacov Heidingsfeld, COO of TraderTools. "By partnering with Smart Trade, we gain full FIX compatibility both in sending orders and in streaming executable liquidity from any bank, portal or ECN. Thus, we can continue to focus on our core competencies in FX order management."