If you’re an investment trader whose strategy is sensitive to FX rate conversions, then it’s crucial to partner with the right counterparts to ensure efficient FX execution. Our customisable software, based on decades of experience, has been created with that in mind, and can help you achieve new levels of success by improving your FX execution efficiency.
How to Achieve Efficient FX Execution
With $7.5 trillion traded daily across banks, brokers, and various financial and non-financial institutions, the FX market is undoubtedly a vast web of trade. While this brings an infinite amount of benefits past traders could have only dreamt of, it can also mean that our investment strategies can be particularly sensitive to FX rate conversions, which can sometimes change in the blink of an eye.
Therefore, having an efficient FX execution strategy is particularly important to staying afloat and thriving. And, in case you’re wondering, it all starts with three main elements.
#1. Liquidity Providers
Choosing the right liquidity providers for your types of trades is essential. For example, while brokers are a good choice for trades of up to a few million, only Tier-1 banks are equipped to handle ones that go beyond that. Therefore, it’s important that you can easily and quickly connect with the right providers through your system.
#2. Technology
The technology used to place electronic trades can significantly impact trading costs and market influence. Indeed, while investment managers who trade just once daily often use the 4pm London FIX price as a benchmark, this alone doesn’t ensure optimal FX efficiency. True efficiency is achieved by integrating multiple liquidity providers and executing trades effectively through advanced technology.
#3. Analytics
Monitoring your FX trading is essential to ensuring execution quality and cost effectiveness. Real-time, intraday analytics enable you to assess the performance of your providers and to respond immediately when and if adjustments are needed. Moreover, end-of-day and in-depth analyses also play a critical role in evaluating your liquidity providers over time.
Your Path to Optimal FX Execution
With that in mind, it’s clear to see that having the right tools to help you on the job is crucial. That’s why, at Wakett, we have developed CYBMIND, our investment strategy automation software, and ONESTAT, our data analyst software, to empower investment managers and traders to make more efficient FX execution and achieve real-time monitoring.
Thanks to these two pieces of software, which can be completely customised to your needs, you can
- connect to multiple liquidity providers,
- implement custom execution rules, and
- access dedicated analytics dashboards and reporting.
They’ll also save you money in the long-run as they are scalable, ensuring you are always ready for whatever you’re up to next.
So, what are you waiting for? Get in touch with us to discover how Wakett can help improve your FX execution.