* CLS Group, and Traiana, an ICAP company (IAP.L), announce that Bank of America, Credit Suisse and Morgan Stanley have agreed to support their joint venture which is set to provide trade aggregation services to participants active in the over-the-counter FX market. The joint venture was announced in April 2009 between CLS Group, the company engaged in FX settlement services, and ICAP, the interdealer broker.
The three firms join a founder group that has committed support to the joint venture consisting of: Citigroup, Deutsche Bank, J.P. Morgan and Royal Bank of Scotland (RBS.L).
The joint venture will provide the means to reduce operational risk, rationalise and consolidate legacy post trade processes and reduce post trade costs in the global FX markets, at a time when volumes have increased substantially. Traiana, an ICAP company, will be providing technology to the venture using its market-standard Traiana Harmony network.
The additions are a sign of continued industry support for the service, which will be rolled out to participating firms following regulatory approval.
We are excited to add these new participants, which as leading firms in prime brokerage and high frequency trading segments will benefit greatly from the service. Further, the value of our aggregation service increases with participation, and adding Bank of America, Morgan Stanley and Credit Suisse to the group of founding banks will accelerate benefits to all participants, says Rob Close, chief executive officer of CLS Group and president and CEO of CLS Bank International.
The growing support from FX market leaders demonstrates the momentum that this initiative has gathered. The addition of Bank of America, Credit Suisse and Morgan Stanley bring us closer to realizing our vision to reshape post-trade processing and promote market growth, says Gil Mandelzis, chief executive officer, Traiana.
L.D.