Press Centre

The mobile dealing application (app) for trading clients allows users with an iPhone® or BlackBerry® mobile device to stay updated with the markets, view their LMAX Trader™ account status, and manage their positions and orders across multiple asset classes. LMAX Trader™ for iPhone® and BlackBerry® mobile devices enables clients to trade on the move via an easy to navigate interface, allowing for convenient access to their portfolios. The app will be rolled out to other mobile device operating systems in the coming months.
LMAX® provides the retail FX and CFD investor with a highly sophisticated but easy to use neutral platform that seeks to offer traders a fairer and more transparent alternative to competitors' offerings. The platform is an exchange* that brings together retail and institutional buyers and sellers in a wide variety of financial instruments on a level playing field.

“Increasing investor sophistication combined with highly mobile lifestyles has meant that more people want to take control of their investment decisions on the go and therefore need instant access to financial markets and their portfolios,” says the Chief Technology Officer of LMAX. “Our platform offers a neutral and transparent exchange model delivered via market-leading technology, both key differentiators in a competitive market where investors demand solutions that deliver results.”

The LMAX Trader™ app is available free for download from a BlackBerry® mobile device or iPhone®, and from BlackBerry App World® and the Apple App Store®. Accessing an account via a mobile device requires an account to be opened with LMAX Trader™.

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*LMAX® is a Multi-Lateral Trading Facility (“MTF”) as defined in the Markets in Financial Instruments Directive (“MiFID”). LMAX, LMAX Trader and Make Your Own Market are trademarks of LMAX Limited. iPhone® and App Store® are registered trademarks of Apple Inc. BlackBerry® and BlackBerry App World® are registered trademarks of Research in Motion Ltd.

LMAX® faced tough competition from industry heavyweights, including Chi-X Europe and Credit Suisse, to take this prestigious award at a ceremony held in London last night.
The FST Awards recognise excellence and innovation in the field of information technology within the UK and EMEA financial services sectors. LMAX® is an exchange* that brings together retail and institutional buyers and sellers without taking positions against either. The LMAX® technology is widely recognised as market-leading and LMAX® offers retail and institutional traders’ access to an Application Programming Interface (API) solution which facilitates automated FX and CFD trading strategies.

"This is a true vote of confidence from the financial services community and a great accolade for a growing company such as LMAX,” commented the Chief Technology Officer of LMAX. “This win, in the face of stiff competition, highlights how our technology has improved processes, significantly sped up response times and enhanced capacity. Our platform offers a neutral and transparent exchange model delivered via market-leading technology, both key differentiators in a competitive market where investors demand solutions that deliver results.”

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*LMAX® is a Multi-Lateral Trading Facility (“MTF”) as defined in the Markets in Financial Instruments Directive (“MiFID”). LMAX, LMAX Trader and ‘Make Your Own Market’ are trademarks of LMAX Limited.

The poll, which surveyed sentiment at the Innovation and Algorithmic Trading seminar attended by more than 160 participants from the worlds of trading, technology and academia, confirms trends in the retail FX and CFD markets which show an increasing convergence towards automated trading strategies amongst investors.
Despite this trend, the survey highlighted how only one in four (23%) felt that retail investors are equipped to trade on a par with institutions, showing the void that exists in the current technology and infrastructure available to the retail investor. As retail investors become ever more empowered and confident in their investment strategies, the survey illustrates the need for platforms to cater to their increasingly sophisticated needs.

Highlighting discontent with existing market structure in the FX and CFD markets, the survey also found that a significant proportion (60%) took exception to trading on a platform where a broker takes a position against them, with investors increasingly looking for more transparent and neutral venues to trade.
In addition, 89% of participants revealed that the exchange model is now fundamental to their trading requirements as they search for deep liquidity combined with a neutral service.

Commenting on the survey’s findings, the CEO at LMAX said: "We’ve all known for some time how sophisticated the retail investor has become and the results of this survey show how the man on the street is looking for the tools to trade on a par with institutions. Automated trading is long established in the institutional trading space, and the survey demonstrates just how rapidly the retail FX and CFD trading markets are evolving. With speed of trading and neutrality rising swiftly up the agenda, today's findings offer a telling insight into the future of retail investing.”

Speakers at the conference comprised leading experts in the world of computer trading and technology including Mitul Popat, Department Manager of Equity Options at Optiver, David Cliff, Professor of Computer Science at Bristol University, Peter McBurney, Professor of Computer Science at Kings College London and the CTO at LMAX.

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LMAX will initially allow customers to trade rolling spot FX contracts and CFDs in equity indices, commodities, bonds and interest rates with other asset classes to be added to the platform in due course. LMAX is the first CFD multi-asset trading venue with central clearing which does not take positions against its customers.
LMAX provides the retail CFD and FX investor with a highly sophisticated but easy-to-use neutral platform that seeks to offer traders a fairer and more transparent alternative to competitors' offerings. The platform is an exchange* that brings together retail and institutional buyers and sellers in a wide variety of financial instruments on a level playing field. Through the exchange, LMAX delivers customers fairness, transparency, neutrality and a more efficient and open way to trade. LMAX also provides its customers with a community that allows them to share ideas, trading strategies and actively contribute in the development of the platform.
Betfair, the world’s leading sports betting exchange, established LMAX and is the majority shareholder in the platform. Betfair changed the sports betting market by allowing its customers to trade against each other and invented the first truly successful exchange model for sports betting. The LMAX Exchange solution, which has been developed over several years of rigorous research and development, is based on Betfair's original matching engine but has applied and refined this model for financial trading, alongside proprietary and scalable in-house technology.
CFD trades are cleared via the clearing house, LCH.Clearnet Ltd. A clearing house sits in the middle of a trade, assuming counterparty risk involved when two parties trade.

The Chief Executive of LMAX, commented: "The current broker-led model for online trading of CFDs and FX is outdated and doesn't work to directly benefit the customer as the interests of parties are not aligned. We are bringing transparency and fairness to the market by providing an exchange platform and a business model that clearly wants its retail traders to be as successful as possible. For the first time, retail CFD and FX traders can access an open order book with wholesale institutional liquidity across a wide variety of asset classes with all the protections you would expect. LMAX offers traders the ability to make a market rather than be passive takers of broker prices."

The platform has been designed to bring some of the key benefits of institutional trading (such as increased transparency, deeper liquidity and central clearing) to the retail trading market. LMAX is the first Multilateral Trading Facility (MTF) where retail customers can trade CFDs and the first to offer central clearing. The MTF model and centralised clearing provides the transparency and security that the retail market has lacked and which clients, regulators and the market are increasingly demanding.
LMAX is a neutral and transparent service as customers can see their orders on an open order book. Traders benefit from the ability to place an order directly onto the platform with no dealer acceptance and no re-quotes. In order to provide high levels of actionable liquidity sophisticated market makers are providing institutional pricing on the platform. Retail traders will trade against each other or these institutional liquidity providers. In addition, customers can set or take a price of any given instrument - in essence retail clients can become market-makers themselves on the LMAX platform.

He added: "Using LMAX, traders are able to make their own price rather than being restricted to just taking prices. We have a very different model from anyone else in the market and believe that customers will find this extremely attractive. We are an MTF, and the market participants – both retail and institutional – determine our prices. LMAX brings the benefits and efficiencies of institutional exchange trading to the retail market and this is long overdue."

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*LMAX is a Multi-Lateral Trading Facility (“MTF”) as defined in the Markets in Financial Instruments Directive (“MiFID”)

LMAX will initially allow customers to trade rolling spot FX contracts and CFDs in equity indices, commodities, bonds and interest rates, with other asset classes to be added to the platform in due course. LMAX is the first CFD multi-asset trading venue with central clearing that does not take positions against customers.

“With this launch, we’re bringing some true innovation to the financial market offering retail access and the possibility to trade as an equal with financial institutions,” said the CEO of LMAX. “We have a multi-asset offering, and with Scila Surveillance we only need one surveillance tool to monitor our entire market. It’s a very modern, user-friendly solution that will help us ensure market integrity at LMAX.”

Scila Surveillance is a fully-fledged, Java-based surveillance system provided by Cinnober to trading venues, regulators and compliance departments. The system has been implemented at a number of trading venues — spanning from equities to commodities and derivatives markets, including the Nordic MTF Burgundy, the Hong Kong Mercantile Exchange, Oslo Børs and EDX London.

“LMAX is a very exciting new MTF with a unique offering to the retail market, and we're proud to deliver their market surveillance solution,” said Jan Arpi, CEO of Cinnober. “It also emphasizes the strength of our offering. When LMAX is fully up and running, Scila will cover the whole spectra of instruments available in financial markets in one and the same marketplace. Together with the Scila team of senior surveillance professionals and system architects, we offer something new for market surveillance and compliance professionals: a flexible and easy-to-use multi-purpose solution with a low total cost of ownership.”
Cinnober provides high-transaction trading and clearing related systems to a number of leading venues, including Alpha Trading Systems, Burgundy, the Chicago Board Options Exchange, the London Metal Exchange, Markit BOAT and NYSE Liffe.

For further information, please contact: Jan Arpi, CEO Cinnober jan.arpi@cinnober.com Tel. +46 70 860 46 49

Mats Wilhelmsson, COO Scila mats.wilhelmsson@scila.se Tel. +46 703615281

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Immediately prior to FSA authorisation Goldman Sachs, pursuant to an agreement entered into in 2008, acquired a 12.5% stake in LMAX Limited's parent company London Multi-Asset Exchange (Holdings) Limited.
LMAX was established by Betfair, the world's leading sports betting exchange, in 2007, to enter the market for online retail financial trading. Betfair is the majority shareholder in the company.

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