"The survey results indicate that innovation in electronic FX trading is on the rise and that more and more firms are looking to improve their speed of trade executions, largely through the implementation of low latency technologies," said independent analyst Bob Giffords. "Spending in these areas appears to be increasing as firms begin to connect to more venues and advance the sophistication of their trading infrastructure,â he explained.
Key findings of the 2009 FX Trading and Technology Trends report include:
- 89.6% of firms plan to increase spending on low latency technologies in the next 18 months
- 64.6% execute FX trades electronically in order to improve execution speed
- 47.7% of firms plan to change or add electronic FX venues, primarily for better pricing
- 68.7% use algorithms for their FX trading or plan to do so
- Access to liquidity is the single most important selection criteria for choosing an FX trading platform
âThis survey confirmed that electronic trading in foreign exchange is rife with opportunity. A technology arms race has begun in FX and automated, low-latency trading is the main battlefield in that race,â said Mark Palmer, Chief Executive Officer of StreamBase Systems. Palmer continued, âCEP is rapidly becoming the defacto application development platform to quickly build, deploy, and evolve automated FX trading applications. Weâre seeing a broad range of CEP applications in FX including those for real-time, aggregated market data management, FX price targeting, algorithmic trading and multi-venue FX execution.â
Results from the StreamBase âFX Trading and Technology Trends in 2009â survey will be discussed by a panel of FX experts on Thursday, June 11th at 10am ET US, 3pm UK. Panelists include Scott Brusso, Director of FX Products, CME GROUP; Dan Torrey, Head of New Business - Americas FX, ICAP; Nasir Zubairi, former Product Manager of Algorithmic Trading and E-commerce Solutions, RBS; Richard Tibbetts, Co-Founder and Chief Technology Officer, StreamBase. Bob Giffords will moderate the panel.