EBS BrokerTec, ICAP's market-leading electronic foreign exchange (FX) and fixed income business, announces today that it has launched 12 new daily WMR fixes through the eFix Matching solution, with plans to provide electronic execution for all 24 hourly WMR fixes by the end of the first quarter 2016.
The new fixes were launched in response to demand from customers who have increased their focus on electronic execution of fixings to ensure transparent and fair matching in the current regulatory environment. Such a solution was recommended by the Financial Stability Board (FSB) in 2014, following its consultation on FX benchmarks, to ensure a robust fix methodology and execution. EBS BrokerTec believes that with the increased customer uptake, expansion of its fixing options and as the only provider of eFix solutions in the market, eFix Matching will fast become the trusted ‘global utility’ for FX fix execution within the interbank community.
Since launch in May 2014, EBS BrokerTec’s eFix Matching solution has grown exponentially. January 2016 was the second highest average daily volume (ADV) month since launch with volumes increasing 200% compared with January 2015. The highest single day of matching also took place on 29 January 2016 with $6.5 billion transacted through eFix.
Gil Mandelzis, CEO of EBS BrokerTec, said: “Customers are increasingly looking for a central solution for fix execution which helps them achieve optimal efficiency and improved risk management. We are seeing significant growth in volumes and are pleased that eFix Matching is sitting firmly at the centre of FX market development. We thank our customers for their continued feedback and support and look forward to offering a wider array of daily fixes.”
Tony Botting, Global Head of Linear FX Trading at Credit Agricole Corporate & Investment Bank
said: “We welcome EBS BrokerTec’s increased eFix execution solutions. Execution efficiency, with minimal risk, at the fix is an important part of our business that requires significant effort and focus. The improved efficiency and liquidity by being able to do this electronically via EBS BrokerTec will have a marked impact on the way in which we execute trades of this sort for our customers.”
The initial 12 WMR hourly fixes to be added will be 7:00, 09:00, 10:00, 11:00 12:00, 13:00, 14:00, 15:00, 17:00, 19:00, 21:00, 22:00 (all London local time). This is in addition to the existing WMR 16:00 fix already available via EBS BrokerTec.