Cobalt and Baton Systems Team Up

The growing trend for collaboration in the FX post-trade space has accelerated further with the news that Cobalt has entered a partnership with Baton Systems.

Under the agreement, Baton’s payments infrastructure will be combined with Cobalt’s middle office platform to provide a faster, more efficient end-to-end FX settlement solution.

“The FX industry is rife with opportunities for modernisation, but legacy systems lag behind much of the financial services industry in terms of innovation,” says Darren Coote, CEO of Cobalt. “By combining our middle office platform with Baton’s payments infrastructure, we are delivering a more efficient settlement system that is not marred by high cost, antiquated technology and other restrictions.” 

Arjun Jayaram, CEO of Baton Systems, points out that the events of 2020 “exposed the underlying issues with liquidity, operational infrastructure and settlement that have hindered the industry for decades”. He adds that the collaboration with Cobalt allows the firms to deliver improved visibility and control over the settlement process to a new segment of the market, thus eliminating many of the systemic risks currently plaguing it.