The new partnership is intended to help firms execute FX transactions more efficiently.
Lloyds and BNP Paribas officials are jointly supporting and offering algorithms intended to help financial institutions and corporate clients execute foreign exchange (FX) transactions more efficiently while maintaining transparency and bolstering transaction cost analysis (TCA).
The two firms are offering access to FX Execution Algorithms (EAs) via the FX Algorithmic Execution Service from Lloyds, which is now supported by BNP Paribas’ solutions, which are intended to “help clients execute large FX trades more efficiently,” officials say.
“Execution algorithms now represent a growing share of global spot FX volumes, particularly among buy-side participants, as demand for data-driven execution continues to rise,” according to the announcement. “These tools offer sophisticated capabilities for hedging large exposures and can provide clients with detailed analytics to support trading decisions, helping to demonstrate best execution.”
Lloyds clients will have access to “the full algo technology stack, which includes flexible execution strategies tailored to individual trading objectives. This will allow users to define strategies aligned with their risk appetite, supported by interactive features such as limit pricing and start/stop times,” officials say.
“As FX market and risk dynamics shift, integrating algorithmic execution technology into our Lloyds platform ensures we continue to offer market-leading FX solutions to meet the needs of our clients,” says Rob Hale, head of financial markets at Lloyds, in a prepared statement.
BNP Paribas is “actively expanding our footprint using exclusive offerings in target markets as we continue to develop and refine our platform,” adds Asif Razaq, global head of FX automated client execution at BNP Paribas, in a statement.
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