GAIN Capital, a global provider of online trading services, has launched a new independent electronic communications network for foreign exchange trading.
The platform, called GAIN GTX, will be accessible by hedge funds, high-frequency traders, broker-dealers and high-net worth individuals. GAIN GTX will offer its members an anonymous trading environment with direct access and trade execution capabilities using streaming prices that provide a transparent view of both price and order book depth.
Clients will have two solutions to choose from depending on their prime broker relationships. Those that have pre-existing credit with a prime broker will use GTX Prime to Prime and those that do not will use GAIN Capital Direct Prime.
The trading platform will offer aggregate pricing from a hybrid pool of anonymous or disclosed liquidity providers and price depth with automatic size adjusted average price display. It will also offer market, limit, stop, order-cancels-order and peg order types, real-time straight through processing and historical trade query functionality.
Orders can be routed using targeted or automatic strategies and algorithmic plug-ins. Logic suited to high-frequency traders, such as trigger and auto-exit capabilities, is also available.
“With an eye toward expanding our already strong presence in the institutional space, we recognised a need for a dedicated liquidity venue that gives FX traders greater price transparency, instantaneous trade execution and lower transaction costs,” added Glenn Stevens, CEO, GAIN Capital, in a statement.
“There has been an incredible uptick in the adoption of algorithmic trading in the FX market,” added Sang Lee, manager partner, Aite Group. “In light of continuous market structure changes and increasing participation of non-bank customers segments in the institutional FX market, plenty of opportunities exist for a new FX ECN with built-in flexibility and compelling value added functionality.”