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According to results of a Bank for International Settlements survey, electronic trading in emerging markets (EMFX) represents a US$80-120 billion turnover per day and saw a 300% increase in the 12 months to November last year.
R5FX, a new liquidity pool specializing in the trading of emerging market currencies, has chosen smarTrade Technologies, a provider of multi asset end-to-end trading solutions for banks, to build and host its e-trading platform.
According to results of a Bank for International Settlements survey, electronic trading in emerging markets (EMFX) represents a US$80-120 billion turnover per day and saw a 300% increase in the 12 months to November last year. According to R5FX, this trend has fuelled the need for increased efficiency, market transparency and liquidity.
The platform will be capable of facilitating trades in 11 currencies: Taiwan Dollars, Chinese Renminbi, Indonesian Rupiah, Indian Rupee, Malaysian Ringgit, Philippine Peso, Korean Won, Brazilian Real, Columbian Peso, Chiliean Peso and Russian Ruble.
The platform entered its beta stage this week after completion of test trades in the Brazilian Peso, Russian Ruble, Indian Rupee and Chinese Renminbi. A mix of large and smaller regional banks from around the world took part in the beta test phase.
"R5FX offers both bank and non-bank venues, providing equal access to Emerging Market currencies, enabling fast and efficient trading," said Jon Vollemaere, CEO of R5FX. "We chose smartTrade's platform as it is industry proven, robust, flexible to match our needs, and provides us with the capacity to support future market growth," he added.
R5FX has plans to make the platform available in local languages after the product has gone 'live'.
Credit: By FinTech Innovation Editors
Copyright Questex Media Group LLC Jul 19, 2015