- Cboe FX Point allows clients to manage one–to–one trading relationships utilising Cboe FX technology, infrastructure and settlement relationships
- No transaction and connectivity fees for clients interacting with Platinum member liquidity
- Jump Liquidity, a key FX liquidity provider, supporting Cboe FX Point
Cboe FX Markets, a Cboe Global Markets, Inc. (Cboe: CBOE) company and a leading platform for institutional foreign exchange (FX) trading globally, today announced the launch of Cboe FX Point, a new one-to-one execution solution that allows institutional clients to create custom, relationship-based connections with one or more of their preferred counterparties to meet their specific trading needs.
Liquidity provision in global FX markets is deeply fragmented and institutions use a wide group of banks, non-banks, electronic platforms and voice brokers to conduct their trading activities. Through Cboe FX Point, institutional clients are able to leverage Cboe FX’s technology, credit and straight-through processing infrastructure for low-cost management of one-to-one trading relationships, enabling them to connect to multiple selected counterparties more efficiently.
“With the launch of Cboe FX Point we’re streamlining relationship-based trading in the FX market and allowing clients to focus on what is most important – sourcing the unique liquidity they need to achieve an optimal trading outcome,” said Bryan Harkins, Cboe’s Co-Head of Markets. “One of the key benefits of utilising Cboe FX Point is that there is no technology development work for either makers or takers, which enables clients to reduce the costs and complexity of connecting to multiple counterparties.”
Cboe FX Point allows for targeted and defined order flow between the liquidity taker and maker. Cboe FX Point offers liquidity providers different membership options based on expected levels of participation. Notifications of executions are restricted to counterparties, minimizing market impact. Additionally, the Cboe FX Point pricing model is simple and straightforward, without any transaction or connectivity fees for liquidity takers interacting with Platinum member makers.
“The participation criteria is a great way for Cboe FX clients to identify genuine non-bank market makers, so we are proud to join Cboe FX Point at the highest level, as a Platinum Member. As Jump Liquidity continues to grow and focus on its direct trading business, Cboe FX Point will serve as an efficient and cost effective way for counterparties to connect to us for their spot FX and precious metals trading,” said Mark Bruce, Head of Sales at Jump Liquidity.
In the first quarter of 2019, Cboe FX reported average daily value (ADV) traded of $36.5 billion, while market share reached an all-time quarterly high of 15.8%. The Cboe FX Full Amount platform is off to a strong start in 2019 as the first quarter included three successive monthly high-water marks, capped by March’s $5.9 billion ADV.
