A new trading connection has been established to enhance the capabilities of an OTC product trading platform based in Bermuda. This platform is now recognized as an approved trade source for Foreign Exchange Non-Deliverable Forward (FX NDF) clearing at LCH ForexClear, a prominent clearing solution within the Post Trade sector of the London Stock Exchange Group. The platform successfully executed its first cleared production trade involving a strategic partner, marking it as the second electronic FX trading platform to provide non-U.S. users with a direct pathway to LCH ForexClear.
This development allows non-U.S. users of the trading platform to engage in trades that can be cleared immediately through LCH ForexClear. As a result, these users stand to gain from reduced counterparty risks and the benefits associated with uncleared margin rule requirements, particularly through multi-lateral margin netting.
The CEO of the firm expressed excitement about the achievement, noting the approval as a significant opportunity for global institutional participants. The new settlement pathway not only helps mitigate risks and costs for non-U.S. users but also enhances operational efficiency. Looking forward, the firm aims to maintain its commitment to providing cost-effective trading solutions at competitive prices.
Since its inception in 2019, the platform has been offering a diverse array of products, including FX NDFs, Swaps, and Spot trading to institutional clients. The multi-asset trading interface has allowed market participants to benefit from improved liquidity while minimizing trading costs.
Overall, the trading platform’s mission revolves around facilitating seamless asset exchanges at the lowest possible cost, thereby catering to a growing range of asset classes around the clock. Through innovative workflows tailored to each asset class, it aims to redefine trading efficiency in global markets.