January 26, 2021
FXall sees record FX Options trading volumes in 2020, and expands market-leading liquidity with the addition of non-bank market maker Optiver
FX options trading volumes grew by 26% on Refinitiv’s FXall platform in 2020.
NEW YORK – FX options volumes on FXall reached new levels in 2020 with a 26% year-over-year increase. During a year marked by market turmoil in the wake of the Covid-19 pandemic, buy-side participants on FXall increasingly relied on FX options to hedge their currency exposure.
Attracted by the greater transparency, audit trail, and operational efficiency of electronic trading, a wide range of buy-side institutions use FXall to access deep options liquidity. From a single interface, FXall clients can trade both vanilla and exotic options strategies, secure the best price from a panel of their preferred liquidity providers, and execute the trade on the relevant regulated venue (SEF or MTF) or off-venue.
The progressive electronification of over-the-counter (“OTC”) options trading, although lagging the broader FX market, has seen liquidity providers invest significantly in their e-trading capabilities and adopt electronic means of price formation and distribution. Over 66 market makers now provide electronic options liquidity to clients via FXall, and nearly one third are now responding to client RFQs in an automated way via API.
Expanding its already deep liquidity pool, FXall has recently added Optiver as the first non-bank liquidity provider for FX options on the platform. A leading global market maker, Optiver is the #1 market maker for FX options on the CME and is growing rapidly in the FX OTC market.
“We are excited to be joining Refinitiv FXALL and adding to their current liquidity pool. This is a great platform for providing alternative liquidity to buy-side participants,” said Jean Cayla, Chief Commercial Officer at Optiver London. “Since becoming a dealer in OTC FX options in September 2019, we have been growing in the space and this is certainly a positive step in our evolution.”
“The record-growth of options trading during one of the most transitional years for the trading sector validates the effectiveness of our platform to deliver seamless end-to-end trading solutions across all segments of the FX market,” said Jill Sigelbaum, head of FXall, Refinitiv. “The addition of Optiver, a market-leader in options, builds on this commitment and our strategy in 2021.”
For further information on Refinitiv’s FX solutions, visit here.
As the leading multi-dealer FX trading platform, FXall offers clients access to deep liquidity with choice in execution, end-to-end workflow, and straight-through processing covering the entire trade lifecycle. FXall has a client base of over 2,300 clients and 230 bank and non-bank liquidity providers
Refinitiv is one of the world’s largest providers of financial markets data and infrastructure, serving over 40,000 institutions in over 190 countries. It provides leading data and insights, trading platforms, and open data and technology platforms that connect a thriving global financial markets community - driving performance in trading, investment, wealth management, regulatory compliance, market data management, enterprise risk and fighting financial crime.