TradeNeXus, a GlobalLink digital platform for foreign exchange transactions and an integral part of State Street’s Digital Division, has partnered with Capitolis to launch an automated post-trade solution to optimize portfolios.
“In today’s foreign exchange market, financial institutions are feeling more pressure than ever to optimize portfolios, mitigate risk, and contain operational and processing costs,” said Kate Lowe, co-head of GlobalLink FX.
“Our clients require seamless and ongoing post-trade optimization services, and together with Capitolis, we have created a next-generation, best-in-class offering that will allow them to stay truly competitive in this evolving environment,” she said.
This product culminates an ongoing collaboration to integrate TradeNeXus’ technology and network of asset management firms with Capitolis’ optimization, novation, and trade compression solutions.
With this integrated offering, buy-side firms can utilize TradeNeXus to automate data submission and access Capitolis’ analytics tools to regularly scan portfolios for opportunities to optimize foreign exchange trades.
Buy-side firms can further drill down opportunities for further analysis using a seamless dashboard and single-sign-on function between the platforms. Firms can then decide which optimization opportunities to pursue using Capitolis’ technology based on the expected savings and initiate those optimizations, and all parties to any optimization cycle can benefit from the straight-through-processing to gain capital, margin and/or operational efficiencies.
Capitolis has helped more than 70 financial institutions eliminate trillions of dollars in notional value.
The platform integrates seamlessly with clients’ existing systems and is cloud-based, scalable, secure, and cost effective. While a client’s counterparties do not all have to use Capitolis to realize benefits, as more counterparties sign up the network effect grows, driving additional savings and efficiencies for everyone. TradeNeXus and Capitolis began their partnership in November 2021.
“We are excited to unveil our portfolio and foreign exchange optimization services in partnership with State Street,” said Gil Mandelzis, CEO and founder of Capitolis.
“Our collaboration with TradeNeXus is an ideal blend of innovative technology and unparalleled connectivity within the buy-side community, and it will become a critical differentiator in helping these institutions optimize their workflows and post-trade processes.”