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Screenshot of a breaking news alert e-mail from Q2 2017
FIX Trading Community, the non-profit, industry-driven standards body at the heart of global financial trading, today announced that they have extended the Trading Enablement Standard Initiative (TESI) to include Foreign Exchange (FX) client enablement.
TESI uses FIX protocols to achieve more efficient and standardized communication for trading enablements. FIX Trading Community was brought into effect last year as a rebranding of the long-established non-profit industry messaging standards organization FIX Protocol. The rebranding exercise was conducted in order to represent its more extensive services subsequent to FIX Protocol having branched into the post-trade space in January 2013.
Last year TESI designed and implemented the FIX standard to manage the complex process of enabling clients on Fixed Income trading platforms. As a result of close collaboration with the FX community, TESI is now available to clients using FX execution platforms for FX Spot, Forwards, Swaps, FX Options, NDFs and Precious Metals trading.
TESI helps reduce errors and improve the user experience by standardizing the enablement process to make it more efficient. By using TESI, FX market participants can change pricing streams, map accounts, authorise new instruments or even suspend clients for trading and a message will be automatically distributed to all relevant parties using a standard protocol.
By using the FIX Messaging language to transmit this information, all parties involved have assurance that they are using the protocol that has become a standard for the way the world trades. FIX protocol is used by thousands of firms every day to complete millions of transactions, enabling the industry to minimise the cost of trading, maximise operational efficiencies and achieve increased transparency.
Sassan Danesh, Co-Chair on FIX Trading Community’s OTC Products Committee, Managing Partner, Etrading Software noted: “The extension of this initiative to FX is an important step towards multi asset class ‘Straight Through Enablement’ that will allow dealers to manage a previously manual process electronically using the FIX Protocol. Further work is being undertaken to ensure a smooth adoption by the industry.”
Paul Tivnann, Bloomberg’s Head of Foreign Exchange and Commodities Trading, further stated: “We have been using technology to provide efficient solutions for our customers and increase financial market standardisation since Bloomberg’s founding more than 30 years ago. We support TESI because it helps further promote these goals.”
Neill Penney, Workflow Management Proposition Manager Thomson Reuters, said: “All of us in the FX industry share a common goal: simplifying FX trading, reducing costs, and streamlining processes. This benefits all of our customers – be they corporations, pension funds, asset managers, banks or governments – and reduces the impact of FX transaction costs on end users. Thomson Reuters is committed to that common goal, which is why we support this initiative.”
The FIX Trading Community will continue to work closely with its members, trade associations and regulatory bodies to ensure the evolution of markets as they undergo change and are presented with more regulatory change.