TraderTools Inc. (www.tradertools.com), the eFXperts, today announced the formal launch of the TraderTools Unique Liquidity Network.
The TraderTools Unique Liquidity Network provides a single liquidity pool in emerging and local market currencies from both non-bank and regional bank market makers – with fully disclosed, relationship based pricing. Market makers on the Unique Liquidity Network have a strong presence in emerging and local market currencies such as the Turkish Lira, the South African Rand, the Scandinavian Kroner, Eastern European currencies, and the Russian Ruble.
As the FX industry evolves in an era of increased regulatory challenges, the appetite of tier one banks to provide principal based market-making activities, and warehouse risk, has substantially diminished; resulting in a liquidity gap. This liquidity gap is gradually being filled by market makers on the TraderTools Unique Liquidity Network.
A recent Greenwich Associates survey of 1,600 global investors found that 20% of FX volume is now being executed through non-bank liquidity providers. These same events have also opened up market making opportunities for regional, mid-tier banks, who have natural customer interest in their native currencies. Without investing in balance sheet or additional headcount, regional banks can now leverage TraderTools Unique Liquidity Network on a SaaS basis to electronically distribute their inventory.
Market makers can stream prices on the TraderTools Unique Liquidity Network by licensing TraderTools technology or integrate via their own API. Liquidity providers benefit by accessing a broad and globally diverse group of takers on the TraderTools network, while maintaining fully disclosed relationship pricing.
For liquidity takers, TraderTools offers single API access to its Unique Liquidity Network that integrates with third party technology. The API is available to banks, brokers and the buy side. “Through our unique liquidity network, TraderTools is leveraging relationships we have built over the last few years, bringing natural market makers to a wider audience.” said Yaacov Heidingsfeld CEO, TraderTools.
“As best execution and TCA continue to be a focus, increased transparency and depth of book benefits both sides of the transaction while reducing market impact.” Heidingsfeld added.
TraderTools delivers the world’s most advanced FX trading platform. Banks, Brokerages and the buy-side use TraderTools as the foundation of their FX businesses, for quicker time to market, better execution and higher profit. TraderTools delivers traditional (Bank), alternative (non-bank) and local market liquidity – with true relationship pricing – both price and execution aggregation – in an out-of-the-box SaaS solution.
TraderTools, Unique Liquidity Network, and the tagline “The eFXperts” are trademarks of TraderTools Inc.
Executive VP Sales