that HSBC Group has selected Reuters to provide its partner banks and
corporate institutions with outsourced foreign exchange trading services in
its key markets around the world.
HSBC's outsourcing offering, which is often described as white labelling,
will be based on the new version of Reuters automated dealing software which
has been developed, following Reuters acquisition of AVT Technologies Ltd.
Tony Cripps, Head of E-Commerce, HSBC Global Markets, said, "This was an
important decision for HSBC and we are delighted to have chosen Reuters as
the provider of our white-label services."
"HSBC carried out a review of a number of the available alternatives. The
strength of the Reuters automated dealing offering, its ability to provide an ASP service and its global presence, when combined with HSBCs position in the FX market, gives HSBC a powerful proposition for its white-label customers," Mr Cripps added.
Tom Glocer, Reuters CEO, said, "We're delighted to expand our relationship with HSBC. This endorses Reuters acquisition of AVT and extends our community building and trading capabilities."
Reuters and HSBC signed the letter of intent early last week and are discussing the implementation plans.
Reuters new automated dealing offering, which is based on what was formerly AVT Technologies Ltd.'s Echo FX product, supports deployed and hosted services as well as the outsourcing of the pricing of foreign exchange transactions. Banks can use these capabilities to offer their partner banks around the world the ability to create their own branded electronic FX services and minimise the investment required to lower their operational costs.
Mark Redwood, Managing Director of Automated Dealing Technologies, Reuters, said, "Reuters believes that the outsourcing of liquidity is a major driving
force in the evolving electronic FX market. As a leading participant in the FX sector, this decision will ensure that HSBC remains in the forefront, enabling partner banks to offer their corporate clients an enhanced electronic FX service."
Reuters Automated Dealing Technologies business specialises in providing leading-edge technology to financial institutions and their customers to conduct FX and money market transactions in a real-time environment over the
Internet. The group has provided Automated Dealing Technologies solutions
to over 50 leading global financial institutions including ABN AMRO, Bank of
America, Bank of New York, Dresdner Kleinwort Wasserstein, HSBC, UBS
Warburg, amongst others.