Brexit

voting to Brexit, sending sterling to its lowest level
against the dollar since 1985.
BUT HEADWINDS such as record low interest rates
meant its electronic markets revenue still slumped
three per cent year-on year in the three months to 30
June. [Reference City AM]
INVESTMENT BANKING
WE ARE SEEING A LARGE NUMBER of senior sales
people at Investment Banks, particularly at Executive
Director Level being made redundant or being put
at risk of. There is a recent trend of moving bigger
earners out of the business and promoting VP’s to
take their place as a cost saving measure whilst
also ensuring the more junior talent is retained. This
changing of the guard at the banks is expected to
increase further during the remainder of 2016.
EUROPEAN INVESTMENT BANKING REVENUES have hit a 14
year low. Overall it has come to £6.2 billion so far this
year, according to Dealogic. This represents a 22%
fall from 2015 and is at its lowest to date since 2002.
These figures came after a Bank of England review
said that UK banks are expecting M&A to fall following
There has been a lot
noise around the city
that post-brexit many
of the Investment banks
were looking at moving
many of their operations
out of London and hiring
has come to complete
holt, but this is not the
message I am receiving
from some people high
up in the chain.
Brexit due to companies delaying making investment
decisions. Following the decision to leave the EU, UK
lenders have shown a slowdown in the demand for
credit at least in the short term from large corporates
and SMES and revenues in general have been lower in
2016 in the investment banking space as the Brexit
vote has negatively impacted M&A, mostly just in
terms of the uncertainty of it. A quiet 3rd quarter is
predicted but growth in Europe and more certainty,
both in the political landscape and economy could
improve conditions.
THE US SECURITIES AND EXCHANGE COMMISSION has
slapped a $7 million fine on Citigroup to settle
charges that a computer coding error caused the firm
to provide the agency with incomplete 'blue sheet'
information about trades it executed.
HSBC are on target to be regulatory compliant with
MiFID II. An 18-month ongoing project and they are set
to be complaint prior to the deadline. The bank has
interpreted MiFID II as a product and has understood
the impacts and implications of the regulation from
top-down and back to front. Where are other firms
sitting on the race for regulatory compliance?
THERE HAS BEEN A LOT NOISE around the city that postbrexit
many of the Investment banks were looking at
moving many of their operations out of London and
hiring has come to complete holt, but this is not the
message I am receiving from some people high up in
the chain. There are some slight adjustments across
different sites, but it is very much business as usual
and time to adapt to the new era we are possibly
stepping into.
WE HAVE SEEN A LOT OF CHANGE in the market in the
past few months but I’m sure it won’t stop there. As
we continue this technology journey in our quest
for more efficient and time saving technology to
streamline Process. Such as the payments area
of the banking sector this technology changing
at an extraordinary rate such as competition from
non-bank Payment Service Providers (PSPs) offering
services such as mobile banking there is also a
demand for quicker, cheaper, anytime/anywhere
payments. We have also seen a growth in the
number of positions coming on in this mobile sector
with many firms looking to deliver excellent user
experience to their customers enabling them utilise
and benefit from the services they provide in timely
manner.
MARKET DATA PROVIDERS
CANADIAN EXCHANGE OPERATOR TMX GROUP has
enhanced its TMX Analytics Product Suite with the
addition of tools and applications for the global
foreign exchange markets. Launched in February, TMX
Analytics is a cloud-based data analytics product
that is designed to help the exchange's clients make
better trading and investment decisions. It is part
of TMX Insights, a suite of financial content, tools
and applications. TMX Analytics can now analyse
large amounts of data to offer insight into FX market
liquidity and price discovery, measure the expected
impact of pre-trade.
DEUTSCHE BORSE HAS SOLD MNI, an intelligence and
analysis provider of market news, to Hale Global a
venture capital firm. MNI contributed less than 1%
to Deutsche Borse’s overall revenue yet remains one
of the leading providers of news and intelligence
specifically for the Global Foreign Exchange and Fixed
Income Markets.
NETWORK, INFRASTRUCTURE,
SERVICE PROVIDERS
OVERALL THE TRENDS in networks and IaaS for
electronic trading continue to move from speed and
performance improvement to the following:
1. Cost mitigation
2. Improved visibility and analytics in network
infrastructure management for compliance
3. Long term investment for future-proofing ever
increasing bandwidth and latency demands
4. No immediate visible impact on companies
or projects from the UK Brexit vote (negative or
positive)
NEWS
Flow Traders selects Corvil for analytics and
compliance
Corvil has been chosen to provide real-time
monitoring and trade analytics for Flow Traders, the
liquidity provider specializing in exchange traded
products. Corvil will enable Flow Traders to improve
the performance and transparency of its trading
systems
Perseus launches Global Spend Mobility
program
The network management company Perseus has
launched a new service called Global Spend Mobility
(GSM). The programme helps clients to set up or move
infrastructure as their needs change. Deploying on
and off-net point to point connectivity, multipoint
connectivity, colocation, managed hosting,
PrecisionSync, market data and connectivity at over
175 exchanges, GSM offers clients the flexibility to
enter and exit markets without the risk of long-term
capital expenditures.
GreenKey introduces voice quote capture tool
via Symphony
Select Symphony users can now pilot GreenKey's
voice capture tool. GreenKey, creator of cloud-based
voice trading solutions released the pilot version
of its "voice quote capture" tool. The tool is an
innovative voice quote capture service, designed
to solve pre-trade transparency challenges for
voice quotes that are required under the 'Systemic
Internaliser' (SI) and 'Organised Trading Facility' (OTF)
regimes of MiFID II.
BSO Networks to build financial cloud for FX
market
BSO Networks, the global Ethernet network, cloud
and hosting provider, is adding Financial Cloud to its
service portfolio to provide a low latency network and
cloud offering specifically engineered for the global
financial community. The build will include the key
FX marketplaces of London, New York and Tokyo with
a presence in Equinix LD4, NY4 and TY3. The project
will initially focus on LD4, with the plan to be fully
functioning in Q4 2016.
The cloud-based service is built on BSO's Ultra Low
Latency FX circuit that includes access speeds as
follows:
• M63.3ms New York – London
• 136ms New York - Tokyo
• 156ms Tokyo - London.
Speakerbus hires ex-Etrali sales manager for
Asia-Pac
Danson Lam from Etrali will join Speakerbus' Asia-
Pacific new business team. Speakerbus, the provider
of critical voice solutions for financial, emergency
and command sectors, has hired Danson Lam from
Etrali (now part of IPC) to join the Asia-Pacific new
business team. Based in Hong Kong, Danson was
previously regional Sales Manager at Etrali and is an
experienced voice trading platform specialist.
SR Labs rebrands as Vela Trading Technologies
S R Labs, LLC, a global leader in trading and market
data technology, announced it will operate under the
new name of Vela Trading Technologies, LLC (Vela).
Equinix in tech partnership with Facebook for
the Open-Compute Project
Equinix is a new partner with Facebook for OCP
technology to develop open source ecosystem inside
Equinix data centres. OCP is the acronym for the Open
Compute Project (OCP) – a new initiative that shares
designs of data centre products among companies
such as Facebook, Equinix, Intel, Google, Apple,
Microsoft, Cisco, Juniper Networks, Goldman Sachs,
Fidelity and Bank of America. The Open Compute
Project's ambition is to design and enable the
delivery of the most efficient server, storage and data
centre hardware designs for scalable computing.
GLOBAL LEADERS IN FINANCIAL SERVICES AND COMMODITIES TECHNOLOGY RECRUITMENT
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