Foreign exchange: Volatility spike blocked at the back end

Platforms struggle to process trades; Aggregation services claim a victory

“By working with banks to aggregate tickets before they hit the back office, NetLink helped banks handle a very significant number of tickets”

Gil Mandelzis, Traiana

Most foreign exchange players will have welcomed the return of volatility during May that led to a surge in platform volumes, but there have been rumours that several banks struggled to cope – and not just at the front end. Obviously, the fact that prices are frequently gapping does cause some tension, but most leading e-commerce providers seem to recognize that being in the business requires a ‘win some, lose some’ approach.

More worrying is talk that several platforms slowed or even shut down because they were unable to process the number of tickets going through.

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