NASDAQ OMX Nordic, part of NASDAQ OMX Group (NASDAQ:NDAQ), announces a partnership with Deutsche Bank and Imarex FS (Financial Services) to offer market participants access to an integrated trading and clearing service for FX products. This allows clients of NASDAQ OMX’s Norwegian clearing house, NOS, to trade FX products through Deutsche Bank’s leading FX trading platform. Thus they will get direct access to liquidity from the world's leading FX bank, whilst ensuring that clearing and counterparty risk management is carried out in a best practice environment.
Deutsche Bank is the world's largest FX bank, capturing 14.64% of overall market share (Euromoney 2012 survey), which operates the leading FX electronic trading platform Autobahn. Imarex FS will handle the customer onboarding process.
“The combination of world class FX execution and clearing capabilities is a compelling offering for investors looking to transact FX on a standalone basis or as part of a portfolio of assets,” said Greg Edwards, Head of Electronic FX Corporate Sales Europe at Deutsche Bank. “With this initiative investors benefit from best in class technology and liquidity combined with enhanced reporting and improved risk control. The partnership delivers significantly improved workflow capabilities, and we look forward to further developing the service.”
“Our clients are looking for superior trade execution, risk management, capital efficiency and trade processing,” said Mikael Estvall, Vice President of Fixed Income products at NASDAQ OMX Stockholm. “Our new FX clearing service is a response to that. It’s an innovative solution at a time when OTC traded derivatives are gravitating towards clearing in order to reduce counterparty risk. It provides our customers with competitive FX rates from the largest FX bank in the world, along with reduced counterparty risk via our NOS clearing service.”
“This partnership brings access to the deep liquidity on the Autobahn trading platform which delivers significant benefits to our clients,” said Anders Borg, Managing Director at Imarex FS. “We believe the offering has the potential to deliver significant savings for corporates, institutions and active currency traders through improved currency prices, whilst eliminating credit risk between the bank and client. The result is a complete solution for FX trading that meets the needs of our sophisticated client base."
The NOS clearing service is to be integrated into NASDAQ OMX Stockholm’s FX clearing service during 2013.