Repo trading startup raises $20 million investment

GLMX launched its RFQ buy-side-to-dealer repo trading platform in February 2016.

A Wall Street repo trading platform startup has raised $20 million in equity financing as the firm looks to expand into European markets.

GLMX offers a request for quote (RFQ) based buy-side-to-dealer trading platform, launched in February 2016, developed to improve the relationship between buy-side and sell-side counterparties.

GLMX said the $20 million funding will be used to move into European markets and expand its engineering team after its client base doubled and weekly trading volumes exceeded $68 billion.

“Global repo markets are in the midst of significant change, driven by evolving capital needs and regulatory requirements,” said CEO and co-founder of GLMX, Glenn Havlicek.

“As an example, in the UK and Europe, MiFID II and SFTR (Securities Finance Transaction Regulation) pre and post-trade reporting demand a new level of data capture which, if available at all, currently relies on expensive and time-consuming manual intervention.”

Venture capital firm Sutter Hill Ventures led the $20 million investment, alongside Otter Capital and Tippet Venture Partners.

Andrew Sheehan, managing director at Sutter Hill Ventures, commented: “GLMX is seamlessly upgrading the way the buy and sell-side interact across the complex and heavily-regulated money markets.”