FXall Signs Onboarding Deal with Saphyre
Posted by Colin Lambert. Last updated: February 23, 2023
LSEG’s FXall has signed an agreement with technology provider Saphyre to deploy the latter’s AI technology that allows liquidity providers to systematically approve accounts for onboarding.
The technology is live with a subset of FXall clients, the firms say, and will be rolled out to all clients during 2023 as additional enhancements are made.
Asset owner and buy-side users will be able to share all their FX account data and documents with their respective liquidity providers and FXall. Similarly, sell-side firms will receive the same benefit and be able to provide statuses to the accounts’ KYC, tax, credit risk, legal, and ops setup activities. Real-time ready-to-trade statuses will be provided per FX account and provider, the firms say.
They add that the automation reduces the risk of settlement errors significantly when asset owners and investment managers set up new accounts. Banks are settlement-ready with Saphyre, because the custodial account opening process occurs weeks in advance of trading and the platform notifies liquidity providers to onboard those same accounts well in advance, it explains
“We are the first FX trading platform to offer Saphyre’s digitised solution to all our buyside and bank clients,” says Jill Sigelbaum, head of strategic development and partnerships, FX, at LSEG. “Embedding Saphyre’s technology into our account setup and approval process will greatly improve the overall onboarding experience and offer our user community time and cost efficiencies.”
Gabino Roche, CEO and founder of Saphyre adds, “FX front office teams on the buy-side and sell-side benefit because liquidity providers can seamlessly execute and settle trades against new or updated funds without trade errors, regarding account setup or reference data changes. Saphyre serves as a permissioned distributed technology of reference data. This means Saphyre’s clients have a one-stop shop to synchronise data between asset owners, investment managers, custodians, sell-sides, executing and post-trade processing platforms.”