The cost of execution is a very important matter for all electronic trading companies across the retail and institutional sector, a corporate concern to which Integral Development Corporation recently released an antidote in the fom of OCX, which is an acronym for Open Currency Exchange.
OCX was launched last week in order to offer unlimited screen trading for a fixed monthly subscription of $275, thus avoiding variable fees including terminal charges, per line charges and brokerage fees that banks and brokerages are currently faced with.
LeapRate spoke to Harpal Sandhu, CEO of Integral Development Corporation in order to further examine the rationale behind the launch of OCX.
Please give us an overview of OCX, and how it is different from what Integral offers today.
OCX is a significant advancement for the FX market. It represents new levels of service along three areas; liquidity, price and access.
The OCX matching engine is the first in existence to aggregate liquidity directly from disclosed bilateral relationships, indirectly from over 100 electronic market makers and resting liquidity from a central limit order book.
It is available for unlimited screen-based trading for $275 per month, a level unheard of in FX. Finally, the open currency exchange is truly open, everyone can participate.
What are the savings a typical client could expect by using OCX?
Better execution quality, given the access to better liquidity is the first area of saving. Secondly, OCX is available for $275 per month, unlimited screen trading. Given that, we expect the savings to be very significant right out-of-the-box and the more users trade, the greater their savings.
Who is OCX aimed at? Which types of traders and brokers do you expect to take this up first?
OCX is open to the entire market and we truly expect every kind of market participant to find value in what we have to offer. While, feedback from across the market has been very enthusiastic, the first major segment of users who are adopting the platform are from the institutional space.
Banks and brokers who currently trade from their desktops and incur a combination of terminal charges, per line charges, brokerage fees and other surcharges will be among the first to recognize the savings of flat rate trading.