UOB to Launch FX Engine
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The bank joins other major FX participants in serving strong institutional FX flows in Asia, as the republic aims to boost its role as the global FX price discovery and liquidity hub in the Asian time zone.
UOB will launch an electronic foreign exchange (FX) pricing and trading engine in Singapore, which will enable clients to tap the available market liquidity with greater efficiency, in the second quarter of 2021, the bank announced on Monday in a statement.
The FX trading engine will take advantage of reduced latency via co-location connectivity to improve price discovery and to enhance pricing capability. Leslie Foo, UOB’s head of group global markets, said the bank is looking forward to playing a major role in Singapore’s fast-growing FX e-trading ecosystem.
Under the Monetary Authority of Singapore’s (MAS) FX Trading Hub strategy, which aims to cement Singapore as the top FX trading center in Asia Pacific, firms like Barclays, J.P. Morgan, Standard Chartered, UBS, Citi, BNP Paribas, Euronext, Jump Trading and XTX Markets have built their own regional trading infrastructure in the city-state.
It remains a key priority for MAS to further broaden and deepen our FX market, and we welcome more buy-side participants to join the fast-growing FX e-trading ecosystem in Singapore, Lim Cheng Khai, MAS executive director financial markets development, said in the announcement
Questions & Answers
Q.When is UOB expected to launch its electronic FX pricing and trading engine?
When is UOB expected to launch its electronic FX pricing and trading engine?
UOB announced the launch of its electronic FX pricing and trading engine will be in the second quarter of 2021. This was stated in a statement released by the bank on Monday.
Q.Which other major institutions have established regional trading infrastructure in Singapore under this initiative?
Which other major institutions have established regional trading infrastructure in Singapore under this initiative?
Firms including Barclays, J.P. Morgan, Standard Chartered, UBS, Citi, BNP Paribas, Euronext, Jump Trading, and XTX Markets have already built their infrastructure in the city-state.
Q.How will UOB's new FX trading engine benefit its clients?
How will UOB's new FX trading engine benefit its clients?
The engine will allow clients to access available market liquidity more efficiently. It will also improve price discovery and enhance pricing capabilities by reducing latency through co-location connectivity.
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