LMAX Enters NDF Foray with Singapore Licence
Posted by Colin Lambert. Last updated: November 22, 2023
LMAX Group’s Singapore subsidiary has received a Recognised Market Operator (RMO) licence from the Monetary Authority of Singapore, that will allow it to offer NDF trading in Singapore’s SG1 and London’s LD4.
The launch of NDFs will allow clients to hedge their FX exposure against non-convertible currencies on a central limit order book (CLOB), and receive firm limit order market data to.
LMAX says it is committed to building an increasingly diversified offering to support growing demand from institutional investors for consistent, low-latency trading infrastructure, enhancing the FX ecosystem for global clients operating across Asia Pacific. It adds that receipt of an RMO licence recognises the group’s compliance with the principles set out by the regulator in accordance with international standards and best practices, whilst upholding stringent conduct around compliance, risk management and corporate governance.
Earlier this month, LSEG FX officially launched NDF trading on a new matching engine located in SG1, while the dominant NDF CLOB, EBS, matches in LD4.
“The Monetary Authority of Singapore is among the most progressive and innovative regulators globally,” observes David Mercer, CEO of LMAX Group. “We look forward to a continued, symbiotic relationship with MAS as we progress our expansion plans and build out our cross-asset product offering in the region for the benefit of local customers and the broader, vibrant, Asia Pacific market.”
Matt DellaRocca, head of liquidity and analytics, APAC, LMAX Exchange, adds, “As Singapore becomes an increasingly important hub for global FX trading, we are delighted to have the support and recognition from MAS. We continue to expand our product offering to meet growing local demand for transparent price discovery and access to deep institutional liquidity and look forward to strengthening our institutional client relationships across Asia.”