What is the challenge?
The trading landscape is likely to change significantly under MiFID II.
We are going to see the introduction of new trading venues, including MTFs (multilateral trading facilities), organized trading facilities, and the SI (systematic internaliser) regime – not to mention the regulated markets we have today.
With increasing regulatory and market conduct requirements for FX professionals, access to trusted solutions is more critical than ever to achieve and maintain success.
What is Thomson Reuters doing to help?
We provide the ability to trade on FX compliant platforms with suitable volume and liquidity levels to meet your FX trading requirements.
Under MiFID II, we will operate FXall QuickTrade* (our independent electronic foreign exchange trading platform) as an MTF, along with Forwards Matching.
As such, we are obligated to publically report all trades made on the MTF. We will publish to the Tradeweb APA to meet this obligation.
Additionally, we are building out new solutions for post-trade and transaction reporting, and developing new risk controls (pre- and post-trade) to help our clients meet their algo trading requirements.
We are also upgrading graphical user interfaces (GUI) and application programming interfaces (API) to accommodate new data fields, and providing new straight through processing (STP) feeds to provide new data fields to trade parties for their own reporting and record keeping requirements.
In partnership with the foreign exchange specialist BestX, we will enable buy-side participants using Thomson Reuters FXall and FX Trading to streamline analysis of transaction costs, helping them define, achieve and demonstrate best execution. We will offer seamless connectivity from each respective desktop to the independent transaction costs analysis (TCA) service from BestX.
*FXall QuickTrade instrument coverage: forwards, swaps, NDFs, options and money markets.