You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
REGIONAL E-FX PERSPECTIVE<br />
THE STATE OF ELECTRONIC<br />
ADOPTION ON THE BUY-SIDE<br />
Honkanen notes that the buy-side’s<br />
willingness to try new technology<br />
makes the Nordics a fertile ground for<br />
those offering buy-side solutions. “In<br />
the Nordics, finding early adopters<br />
willing to collaborate on building<br />
new solutions is not as difficult as in<br />
other places,” he says. “This leads to<br />
more rapid development. So, I would<br />
say the existence of technologically<br />
sophisticated clients has made<br />
our solutions and services more<br />
advanced.”<br />
John Stead, Pre-Sales and Marketing<br />
Director at smartTrade, echoes<br />
these views. “The technologically<br />
advanced nature of the Nordic buyside<br />
community has influenced the<br />
development of digital FX trading and<br />
electronic payment solutions by driving<br />
demand for cutting-edge technology,<br />
automation, and transparency. But,<br />
we would also argue that end clients<br />
are equally sophisticated in awareness<br />
of market levels- meaning the banks<br />
“The technologically advanced nature of the Nordic buy-side<br />
community has influenced the development of digital FX<br />
trading and electronic payment solutions...”<br />
have to be very competitive to win<br />
business.”<br />
He expands this statement by<br />
highlighting a few examples. “MBP<br />
platforms are very much in evidence,<br />
as in other markets, but we believe<br />
that the buy side is gradually starting<br />
to become more aware of the costs<br />
to their bank partners of using these<br />
channels,” he says. “In the future,<br />
it would not be surprising if more<br />
and more clients move to direct<br />
bank-to-client channels which favour<br />
banks with sophisticated SDP and<br />
API offerings. This direct provision of<br />
liquidity using smartTrade’s flat fee<br />
commercial model, for example, saves<br />
the banks money and allows them to<br />
pass savings onto their clients which<br />
benefits everyone.”<br />
Jusa Santalo, Sales Director, Nordics,<br />
at BidFX also points to the adoption<br />
John Stead<br />
of the multi-bank concept 20 years<br />
ago as evidence of the Nordic market’s<br />
sophistication. “Obviously liquidity is<br />
still vitally important but investing in<br />
systems that are nimble,” he says, “fast<br />
to move, and ‘future proof’ whilst<br />
streamlining processes and automating<br />
reporting, has become a key focus<br />
for a firm’s ability to compete whilst<br />
ensuring regulatory compliance.”<br />
A need for constant electronic upgrades in response to regulatory changes is a trend underway in Scandinavia<br />
MAY 20<strong>23</strong> e-FOREX 27
Change language