This month we spoke on Panel 3: E-EM at Profit and Loss Singapore. With the moot of; SEF rules and better data are leading the drive to higher e-ratios in emerging market currency markets, but what are the challenges involved in trading NDFs and local currencies online?
- Chris Knight, Head – E-Trading (East) FX, Rates & Credit, Standard Chartered Bank
- Matthew Pollard, Head of systematic EM FX trading, Microsecond Trading Software
- Jon Vollemaere, Founder and CEO, R5 FX
- Jonathan Woodward, Head of Asia Pacific Sales, Transactions Sales, Thomson Reuters
A lively discussion which touched on both the difficulties and therefore opportunities apparent when taking this part of the market electronic. It was agreed that this will happen faster than other parts of the market and has the opportunity to both learn cheap lexapro from the mistakes of the past and take the good from other venues and place them in one spot.
The debate on SEF vs NON SEF continued with both London and Singapore benefiting from a trading shift away from the USA, as well as the opportunity offshore US banks have as the possible conduit between the two regime’s.
Another source of debate was the question of what defines a market maker ?
With the ultimate and somewhat future solution being a mix of traditional bank market making alongside tech led non bank market making. The EM world being such a fragile thin liquidity market as it stands today the need to separate pools and trading behaviours (in the short run anyway) appears the best strategy.