Hedgeweek Awards 2023: Meeting asset manager needs with an all-in-one turnkey platform

John McGrath, Chief Revenue Officer

BidFX, a provider of technology-driven solutions for the global FX marketplace via a single sign-on, cloud-based platform, was recognised as the Best Foreign Exchange Solution at the Hedgeweek European Emerging Manager Awards 2023. John McGrath, Chief Revenue Officer of BidFX highlights some of the challenges and opportunities in the sector. 

HW: Where do you see the most significant opportunities for growth in the coming year?

JM: We continue to see demand for data and analytics as the product matures. TCA and LPA are now driving a lot of execution criteria for hedge funds and the incorporation of AI going forward adds another exciting dimension to this product. In conjunction with data hedge funds are looking towards API’s and Automation to help strengthen trading returns and we also see demand for some of more sophisticated order management tools such as basket trading and gamma ladders.

HW: What have been the biggest drivers of growth within your business?

JM: BidFX has the most sophisticated trading technology in the eFX platform space, and this technology is driving our increasing market share in the hedge fund space. The drivers behind our number one market share are due to our market leading GUI which allows complex order management and unique streaming pricing, our mobile app which works across all FX deal types, our comprehensive API solution and the automation aspect combined with data feedback loops which makes an incredibly powerful tool to improve execution rates and have more substantial discussions with your liquidity providers.

HW: What has been the most significant change you’ve observed in the hedge fund industry in the past 12 months?

JM: We have seen a substantial interest in our data product across Liquidity Provision Analytics (LPA), our composite benchmark rate and our advanced TCA reporting tools. We now have the data that can improve trading behaviour and liquidity discussions pre trade, inflight and post trade. Combined with the automation tools and API’s this provides a rich and functionally market leading solution to our hedge fund clients.

HW: Are there ongoing or planned regulatory shifts for hedge fund firms to be mindful of?

JM: We know from recent guidance from the FCA In the UK and ESMA in the EU that a regulated trading environment is coming closer and at BidFX we will continue to provide our clients access to MTF and non-MTF environments. We really want to ensure that our clients have access to the environment they need to meet their regulatory requirements.

John McGrath, Chief Revenue Officer of BidFX – John has been at the forefront of e-trading since 2000 when he was part of the team that launched fixed income e-trading on Bloomberg. Since then he served as Head of UK Institutionals at 360T before joining BidFX in 2017 as CRO to help set up and grow the business globally. BidFX is now the fastest growing eFX platform globally and recently announced record ADV of £120bn.

This article was published on Hedgeweek on 10 November 2023.