Capitolis Targets Institutions for FX Options

Capitolis Targets Institutions for FX Options

Time Stamp: December 13, 2023 12:20 PM
Source Node: 3012088

The fintech firm Capitolis has released a statement highlighting the expansion of its novations platform. This platform, which aims to optimize investors’ portfolios by automatically replacing existing contracts with new ones, has onboarding key buy-side and sell-side market participants.

According to a statement shared by the company on Businesswire, Gil Mandelzis, the CEO and Founder of Capitolis, mentioned: “We’ve seen great benefit in bringing most major market participants together on one automated novations platform, and many that weren’t participating in the past are now actively engaged on the platform.”

Capitolis’ FX novations platform optimizes the needs of various market participants, including prime brokers, executing banks, hedge funds, and real money managers. Capitolis is reportedly expanding this network to encompass bank and non-bank customers.

In June, Capitolis joined forces with LCH, the British clearing giant, to enhance risk management in the FX industry. Capitolis embraced LCH's FX Smart Clearing solution to empower banks to optimize risk management across FX forwards, swaps, and cross-currency swaps. The key here is the fusion of LCH's clearing services with Capitolis' cutting-edge post-trade optimization technology.

The fintech firm mentioned that this collaboration can enhance cleared and uncleared markets, ensuring ideal capital and funding allocation.

Capitolis, in partnership with nine major banks, highlighted the potential of FX Smart Clearing. The proof-of-concept yielded a reduction in total funding costs by 42%, signifying the standardized approach to counterparty credit risk methodology, Finance Magnates reported.

Capitolis Expands Offerings for Financial Institutions

James Pearson, the Head of LCH ForexClear, highlighted how FX Smart Clearing contributes to unlocking capital constraints for banks, fostering a safer and more efficient financial ecosystem. This initiative aims to benefit a broader spectrum of market participants.

Established in 2017, Capitolis' mission extends beyond banks to institutional investors. It is backed by prominent venture capital firms like Andreessen Horowitz and Sequoia Capital. According to the firm, its steps signify the strides in reshaping the FX market landscape.

The fintech firm Capitolis has released a statement highlighting the expansion of its novations platform. This platform, which aims to optimize investors’ portfolios by automatically replacing existing contracts with new ones, has onboarding key buy-side and sell-side market participants.

According to a statement shared by the company on Businesswire, Gil Mandelzis, the CEO and Founder of Capitolis, mentioned: “We’ve seen great benefit in bringing most major market participants together on one automated novations platform, and many that weren’t participating in the past are now actively engaged on the platform.”

Capitolis’ FX novations platform optimizes the needs of various market participants, including prime brokers, executing banks, hedge funds, and real money managers. Capitolis is reportedly expanding this network to encompass bank and non-bank customers.

In June, Capitolis joined forces with LCH, the British clearing giant, to enhance risk management in the FX industry. Capitolis embraced LCH's FX Smart Clearing solution to empower banks to optimize risk management across FX forwards, swaps, and cross-currency swaps. The key here is the fusion of LCH's clearing services with Capitolis' cutting-edge post-trade optimization technology.

The fintech firm mentioned that this collaboration can enhance cleared and uncleared markets, ensuring ideal capital and funding allocation.

Capitolis, in partnership with nine major banks, highlighted the potential of FX Smart Clearing. The proof-of-concept yielded a reduction in total funding costs by 42%, signifying the standardized approach to counterparty credit risk methodology, Finance Magnates reported.

Capitolis Expands Offerings for Financial Institutions

James Pearson, the Head of LCH ForexClear, highlighted how FX Smart Clearing contributes to unlocking capital constraints for banks, fostering a safer and more efficient financial ecosystem. This initiative aims to benefit a broader spectrum of market participants.

Established in 2017, Capitolis' mission extends beyond banks to institutional investors. It is backed by prominent venture capital firms like Andreessen Horowitz and Sequoia Capital. According to the firm, its steps signify the strides in reshaping the FX market landscape.

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