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by wdaareg 1565 days ago
Check out CBOE FX (https://fx.cboe.com/) and EBS (https://www.cmegroup.com/trading/market-tech-and-data-servic...). Settlement and trading of FX may often be OTC, but that doesn't mean there aren't exchanges or aggregated marketplaces.
1 comments

Ok. So what you really mean is that you (or your liquidity partners) participate in multi dealer platforms so you have a large number of trade desks to work with. But even adding the big players together like Integral, CME & CBOE gets you to what less than 1% of the daily fx liquidity?

That’s fairly far off of the expectation you set by saying you offer “the interbank rate”. Which is a pure marketing fiction.

For context the FX desk at JP Morgan by itself provides about the same volume as any of those aggregate platforms.

[later] fwiw I don’t think how you get to your rates particularly matters so long as they are competitive and your service seems like a valuable addition to the mix of consumer options. I get hung up on this because the fx market is notoriously opaque because the major players want it to be and I think leading people to believe there is some sort of benchmark rate adds to that morass.