LSEG launches in Singapore with NDF Matching venue

NDF and Spot Matching to be launched by LSEG in response to growing demand in Asia and the increasing electronification of FX trading globally.

London Stock Exchange Group (LSEG) is to launch a fully-cleared non-deliverable forwards (NDF) Matching venue in Singapore, in response to the strong demand seen in the region.

Supported by the Monetary Authority of Singapore (MAS), the roll-out represents the first phase of LSEG’s plans to implement NDF and Spot Matching and streaming relationship venues in Asia.   

The launch also represents the first stage of LSEG re-platforming its FX venues to its core technology, with a view of improving performance and functionality for customers. 

Neill Penney, group head of FX at LSEG, explained that there has been a strong demand for LSEG to enter the NDF CLOB market as participants look for greater choice in where they execute.  

“Singapore boasts a leading position as an FX hub and we are grateful for the support from MAS as we launch this new initiative,” he said.  

“This is the first FX venue to be delivered on LSEG’s leading-edge technology. We look forward to bringing the benefits of this improved technology to our market-leading Spot Matching and FXall venues in future phases of our re-platforming.” 

According to the Bank for International Settlements’ 2019 triennial FX survey, the average daily volume of NDF transactions jumped from $134 billion in 2016 to $258 billion in 2019, and has continued to develop alongside the growing FX market in Singapore.