INTL FCStone Inc. (NASDAQ: INTL) has just announced that its London-based subsidiary, INTL FCStone Ltd’s Global Payments Division (“the Company”), has introduced FXePrice, a proprietary web-based platform allowing the Company’s local currency liquidity providers to streamline executable prices in 140 currencies and 175 countries.
The Company has released the platform to select members of its global network of more than 300 correspondent banks, to obtain feedback and incorporate recommendations. A full roll out to its entire network of counterparties is planned for later in 2018. FXePrice will be free of charge for banks in the Company’s network.
With FXePrice, correspondent banks will be able to feed the Company with local currency live prices electronically. The Company will have the capability to execute a large number of transactions instantaneously with multiple counterparties. Traditionally, FX price discovery in the developing world has occurred manually via phone, email or messaging. FXePrice automates this process and facilitates instant electronic price discovery via both streaming and request-for-quote (RFQ) functionality, which significantly reduces the time and cost of execution, as well as errors associated with manual processes. Critically, the platform allows banks on the Company’s network to submit prices even during off-market hours for certain currencies, maximizing their abilities to capture flows by showing overnight interest and participate in the global marketplace.
Carsten Hils, Global Head of INTL FCStone Ltd’s Global Payments Division commented on today’s news:
Our trusted global network of more than 300 correspondent banks is a foundation of our business, and we are excited to offer them an innovative, electronic FX pricing and trading solution with FXePrice. The platform revolutionizes the Company’s price discovery and execution process and adds a whole new level of transparency to the process.
FXePrice users can stream foreign exchange prices through the web-based platform, which reduces latency and ensures efficiency by integrating with counterparties’ straight-through-processing (STP) systems. All prices posted on the platform, including after-hours prices, are executable and verifiable. The accurate pricing provided through the portal is especially valuable for the currencies used in the developing world, for which traditional methods of price discovery lack transparency and are often unreliable.
Francois Beau Yon de Jonage, SVP at INTL FCStone Ltd’s Global Payments Division, who designed the platform, concluded:
FXePrice gives banks in the developing world easier access to the latest technology and allows for better transparency with the local currency price in country. Given our position in the marketplace, we are uniquely positioned to provide a single solution to the local banks. We believe this to be especially valuable for those counterparties who may not otherwise have sufficient resources to adequately streamline their local currency rates. We have currently released the platform to select members of our correspondent banking network in order to source their feedback and integrate them into the system, after which time we will roll out the platform for our entire global network. I look forward to providing updates to our counterparties throughout this process.