GLMX gains ATS and broker-dealer status

Repo trading platform GLMX will now operate as an alternative trading system (ATS) and broker-dealer.

A repo trading platform has won regulatory approval to operate as an alternative trading system (ATS) and broker-dealer in the US.

GLMX Technologies was granted registration by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

The company launched its request for quote (RFQ)-based buy-side-to-dealer trading platform for repo transactions and securities lending in February 2016, and it has already seen more than $3 trillion in aggregate system volume.

GLMX said that being authorised to operate an ATS and as a broker-dealer will allow the firm to provide more streamlined interaction and reporting between its existing buy- and sell-side clients.

“The relentless push for efficiency and the demands of global regulatory reporting have reached a tipping point in the securities financing markets,” added Glenn Havlicek, Co-Founder and CEO of GLMX.

“As such, an electronic trading solution for these markets seems inevitable. Becoming a registered ATS and broker-dealer is the next major step in our company’s evolution and in helping to drive forward this structural shift in the market.”

In January this year, GLMX raised $20 million in equity financing which the firm said would be used for its expansion into European markets.

At the time, GLMX added it would also expand its engineering team after its client base doubled and weekly volumes exceeded $68 billion. Weekly trading volumes have since peaked at more than $100 billion, a 900% increase year-on-year.