TRADING VENUES

NEX goes live with US electronic swaps platform

NEX SEF will facilitate electronic trading of non-deliverable forwards, and plans to expand into more FX products.

By Joe Parsons joe.parsons@strategic-i.com July 06, 2017 9:07 AM GMT

NEX Group has gone live with its US swaps execution facility (SEF), bringing the former ICAP company back on the scene for electronic FX swaps trading.

NEX received regulatory approval from the US Commodity Futures and Trading Commission (CFTC) in April to go live with the SEF, which will facilitate trading of non-deliverable forwards from NEX Markets’ EBS platform.

ICAP SEF became part of Tullett Prebon at the end of last year, after the £1.3 billion sale of ICAP’s voice and hybrid brokering business. It was once the most used interdealer SEF for interest rate swaps, however it has since fallen behind other dealer-to-client platforms such as Tradeweb and Bloomberg.

NEX SEF will also begin operation in Canada, and has been approved as a multilateral trading facility (MTF) in Europe.

“NEX SEF is instrumental in NEX’s mission to provide trading environments to suit the full range of our customers’ needs. We are pleased to bring NDF trading to NEX SEF and will continue to evolve the platform alongside our customers,” said Seth Johnson, CEO, NEX Markets.