Wall Street Letter, January 2013 - LMAX Exchange, a London-based multilateral trading facility for foreign exchange and metals trading, is looking to expand its user base in the next few years, according to David Mercer, CEO.
The MTF wants to increase the number of users on its platform, especially among institutions, and it also wants to extend its reach into the interbank market, he said. The focus will require the firm to add more sales staff, Mercer added.
The trading platform was launched in 2010 with a focus on retail trading but the company relaunched in 2011 to target the institutional market after it didn’t gain traction.
In its current iteration, the platform is having success among small institutional firms, said Mercer, such as retail broker-dealers and money managers, but the company hopes to add to that base.
“There is a greenfield side for us, which is larger institutional FX and moving into the interbank market. There is no other venue at the moment that covers all three segments,” he said.
The MTF uses low latency technology, Mercer noted, adding that the average latency per trade is three milliseconds. But he acknowledged that the technology doesn’t mean anything if the business model isn’t what the users want.
LMAX offers an open order book and a model such that users stream orders onto the platform with no option for a “last look”, or an option for a liquidity provider to reject a trade in the moment before execution. Mercer said LMAX chose instead to model itself after exchanges outside the currency markets where the concept of a “last look” is not employed.
“The user gets consistent quality and efficient execution, and not just some of the time but all of the time because there is no ability to reject trades,” he said. The company will focus in the next 12-18 months on getting this message out to potential users, Mercer added.
For further information please contact:
LMAX Exchange (London):
Barbara Pozdorovkina T: +44 20 3192 2510 E: firstname.lastname@example.org
About LMAX Exchange
Recognised as one of the UK’s fastest growing technology firms, LMAX Exchange is the leading MTF for FX, authorised and regulated by the FCA. Servicing funds, banks, brokerages and asset managers, LMAX Exchange delivers firm liquidity, anonymous exchange quality execution and a secure, transparent level playing field to all market participants, regardless of status, size or activity levels.
The LMAX Exchange open order book is driven by no ‘last look’ limit-order liquidity from top tier banks and non-bank financial institutions. Orders are executed in price/time priority with real time streaming continuous market and trade data published to all members. Offering a comprehensive range of instruments including spot FX, precious metals, commodities and equity indices, LMAX Exchange operates a global FX exchange infrastructure with matching engines in London, New York and Tokyo.
LMAX Exchange - a unique vision for global FX.
Business growth awards:
2016, 2015 Winner – Deloitte UK Technology Fast 50 more
Deloitte UK Technology Fast 50 is a ranking of the 50 fastest-growing technology companies in the UK, based on percentage growth of fiscal year revenues over the last four years. close
2015, 2014, 2013 Fastest Growing Tech Company in the UK – The Sunday Times Tech Track 100 more
LMAX Exchange has been recognised amongst the UK’s fastest growing technology firms for three consecutive years. Tech Track 100, compiled by Fast Track annually and published by the Sunday Times each September, lists Britain’s 100 fastest-growing private tech companies based on sales growth over the last three years. close
2016, 2015 Winner – Deloitte EMEA Technology Fast 500 more
The Deloitte EMEA Technology Fast 500 pre-eminent technology awards program is a ranking of Europe, the Middle East, and Africa's fastest-growing technology companies based on percentage revenue growth over three years. close
FX industry awards:
2017, 2016, 2015, 2014, 2013 Best FX Trading Venue - (ECN/MTF) – Fund Technology and WSL Awards more
LMAX Exchange has been awarded The Fund Technology and WSL Awards “Best FX Trading Venue - ECN/MTF” for five consecutive years. The awards honour excellence among providers to the institutional trading industry. close
2016, 2015, 2014, 2013 Best Margin Sector Platform – Profit & Loss Readers' Choice Awards more
LMAX Exchange has been awarded The Profit & Loss Readers’ Choice Awards “Best Margin Sector Platform” for four consecutive years. These awards are voted on by the readers and recognise excellence within the foreign exchange industry throughout the previous year. close
2014 Best Infrastructure/Technology Initiative – WSL Institutional Trading Awards more
LMAX Exchange has been awarded The Wall Street Letter Institutional Trading Awards “Best Infrastructure/Technology Initiative” in 2014. WSL awards honour excellence among providers to the institutional trading industry. close
Financial technology awards:
2016 Best Trading & Execution – HFM US Technology Awards more
The HFM US Technology awards recognise hedge fund technology providers that have demonstrated exceptional customer service and innovative product development in the past 12 months. close
2013 Best Overall Testing Project – The European Software Testing Awards more
2011 Best Trading System – Financial Sector Technology Awards more
The FST Awards recognise excellence and innovation in the field of information technology within the UK and EMEA financial services sector. close
LMAX Limited operates a multilateral trading facility (MTF). Authorised and regulated by the Financial Conduct Authority, FCA Registered no. 509778.