Fintech start-up BestX has signed up JP Morgan as the first FX bank to use its third-party best execution analysis platform for FX electronic trading.
This will allow the bank’s clients to achieve and demonstrate best execution through post-trade transaction cost analysis (TCA) when trading electronically with JP Morgan.
BestX claimed this is the first time any FX dealer has integrated a third-party best execution solution.
“Our own pre- and post-trade tools that assess the total cost of analysis of our FX trades have proven popular with clients, but we know that they also want to hear it from an independent third party, and this should boost their confidence in our quality of execution,” said Richard James, co-head of markets execution for macro products, JP Morgan.
“We believe this is a compelling partnership because BestX’s TCA offering uses a more complete and effective set of analytics and underlying market data than we have seen used by other third party providers.”
Technology from BestX will be applied to all types of electronic and algorithmic FX execution offered by the bank. It has also agreed a multi-year partnership to give the bank the option to offer future BestX services such as pre-trade FX analytics and fixed income TCA.