LONDON, May 23 (IFR) - NEX Group is reshaping its post-trade
services group, NEX Optimisation, into a cloud-hosted platform
that will use blockchain technology and artificial intelligence
to reduce costs and optimise clients' risk and capital across
the transaction lifecycle.
NEX Infinity will act as a single gateway for clients to
access the firm's post-trade services as well as permissioning
third-party providers to ensure that all trade and portfolio
processing requirements sit in once place through the entire
After building the underlying architecture for NEX Infinity
in March, the group is planning to move to production testing
with clients in July. Beginning with matching, allocation and
confirmation for spot foreign exchange and cash equities,
additional services including new asset classes and connectivity
to third parties are scheduled to be added for production
testing by autumn 2017.
Jenny Knott, CEO of NEX Optimisation, said that by bringing
the portfolio of services onto a single platform, NEX Infinity
represents a new era of efficiency in a traditionally siloed and
fragmented market for financial services technology. She said
that clients typically need to maintain 200 to 400 connections
to their participants and intermediaries, resulting in
fragmented data and additional cost, complexity and risk.
"NEX Infinity solves these problems for the market," Knott
said in a statement. "Through a single, cross-asset platform,
which uses emerging technology, clients will connect once to
access NEX Optimisation's 6,500 connections and consume multiple
To access NEX Infinity, clients sign up to a single master
services agreement. Clients will then be automatically migrated
to the new platform using artificial intelligence reconciliation
tools provided by data technology firm, Duco.
The platform comes as banks and their clients face increased
costs associated with new regulations that require detailed
reporting of swaps and securities trades to data repositories,
while more transactions must be verified and reconciled before
being sent to clearinghouses.
"Regulations are adding numerous processes to client
workflows and technology architectures are becoming even more
complex, ultimately limiting our clients' ability to grow
revenue," NEX CEO Michael Spencer said in a statement.
NEX Optimisation is one of four business units created by
NEX Group following the sale of ICAP's broking activities to
The portfolio of trade lifecycle services includes pre and
post-trade processing unit Traiana, swaps reconciliation and
compression firm TriOptima, matching engine Rest and treasury
portfolio management firm Enso. It also houses pricing,
analytics and regulatory reporting arm NEX Data as well as MiFID
and EMIR reporting firm Abide Financial.
(Reporting by Helen Bartholomew)