Citi has announced that it will establish an electronic foreign exchange (FX) pricing and trading engine in Singapore, with support from the Monetary Authority of Singapore (MAS), to boost liquidity in the region.
Expected to go live in the final quarter of 2019, the electronic platform is designed to boost the development of Singapore as an Asian liquidity hub for the region. Together with an expected expansion of Citi’s FX eTrading hub and infrastructure in Singapore, the developments should enable Citi’s clients to benefit from deeper liquidity and greater efficiency in executing FX transactions throughout the region.
The entire engine, built in-house by Citi, includes a proprietary pricing and hedging algorithm, through which clients can deal. It will initially offer 23 spot currencies (G10 and 13 deliverable EM currencies), as well as two precious metals (Gold and Silver). Citi currently operates this trading infrastructure in London, New York and Tokyo. Singapore will become the fourth location from which prices are distributed to clients.