Barclays launches a new single dealer equity platform to be hosted by Nasdaq

Darren Sinden

This the first time that FinanceFeeds can recall that a bank has openly allowed a third party to host a trading platform and it’s more remarkable for the fact that the third party host is a competitor to the platform.

Barclays FX

Barclays, Britain’s last remaining investment banking business, has launched a new equity trading platform in collaboration with the US Nasdaq exchange.

The new single dealer platform is called BARX Book For Equities and will be hosted by Nasdaq. BARX Book will provide the banks, institutional clients, with access to Barclays principal liquidity, in US single name stocks and ETFs.

Nasdaq will host the Barclays trading system within its Nasdaq Execution Platform and will manage the systems operations, some elements of risk control and surveillance, as well as trade reporting and what was described as clearing facilitation.

Barclay’s Co-Head of Global Equities Tod Sandoz said that “Our partnership with Nasdaq to host the platform further allows us to focus on offering the most advanced liquidity solutions, which are backed by the scale and depth of Nasdaq’s growing Execution Platform infrastructure.”

Whilst Nasdaq’s Valerie Bannert-Thurner, VP and Head of Sell-Side and Buy-Side Solutions, Market Technology said that “Our extensive experience in regulated markets, coupled with delivering high-performing, scalable technology infrastructure, will provide Barclays with unique functionalities so they can focus on building and evolving BARX Book for Equities. We look forward to supporting Barclays as they continue to innovate their single dealer platform.”

Beyond the usual platitudes and pleasantries, the deal between Nasdaq and the UK bank is the latest in series of joint ventures between financial institutions and technology providers, for example, we recently wrote about the collaborative partnership between Deutsche Bank and Google Cloud.

The symbolism of the partnership with Nasdaq is probably more important than the BarX Book platform, after all, there is no shortage of execution venues and exchanges in US equities trading.

In a quick search, we found 36 and there are probably more. However this the first time that FinanceFeeds can recall that a bank has openly allowed a third party to host a trading platform and it’s more remarkable for the fact that the third party host is a competitor to the platform.

Barclays, of course, has let it be known that its has ambitions to boost its share of the investment platform market at a retail level too, and has set its sights on the likes of Hargreaves Landsdown.

The bank wants to expand its Smart Investor platform to allow retail customers and private investors to trade in stocks shares, ETFs, managed funds and other products.

Smart Investor has seen a 230 % growth in customer numbers during 2020 as people with time on their hands take control of their finances and look for better returns than are available in traditional savings and deposit accounts. Barclay’s target customers are those with a minimum of £5000 to invest.

This top-down and bottom-up approach has been tried by the bank before but perhaps it has a better chance of success in the current low-interest-rate environment, which has seen US equity indices regularly make new highs in the second half of the year.

Read this next

Retail FX

Eurotrader taps MahiMarkets’ cross-asset trading technology for pricing and risk management

Eurotrader has tapped MahiMarkets’ cross-asset trading technology to manage its pricing and risk management on its fully licensed and regulated retail brokerage operation covering forex, stocks, indices, and commodities. 

Technology

STT doubles user base as Sterling OMS adopted by TradeZero, Avenue, Banco C6

Sterling Trading Tech (STT) has announced record growth of its order management system (OMS) offering, doubling its user base throughout the second half of 2022.

Retail FX

CMC Invest announces flexible stocks and shares ISAs amid changes in UK policy

In addition to a flexible ISA, the Plus plan provides members with a USD currency wallet for their general investment account (GIA), alongside the default GBP wallet that comes with all CMC Invest accounts. This means users will hold both a GBP wallet and a USD wallet. Saving customers money on FX fees.

Executive Moves

The Trading Pit snatches Skilling Daniela Egli from Skilling to lead Cyprus operation

“We feel privileged to have Daniela join The Trading Pit and bring her extensive expertise to our prop trading firm. We are confident in The Trading Pit’s ambition to provide the ultimate global trading environment for talented traders to enhance their skills and eventually become professional fund managers.”

Industry News

Worldpay taps SheerID to allow merchants to better target their audiences

SheerID verifies over 2.5 billion people via 20,000 authoritative data sources; provides global insights from hundreds of the world’s leading brands, and never shares or sells customer data.

Crypto Insider

Cardano (ADA) Price For 2022-23: Buy Cardano With NAGAX

Cardano (ADA) is probably one of the most renowned and well-known cryptocurrencies out there at the moment and is currently available on the majority of the crypto exchanges and platforms in the market.

Retail FX

ACY Securities recognized by Salvation Army NSW for its support to charity work

““Sitting in the backyard of those family friends, to see the devastation the floods had brought, was a real eye-opener, and a testimony to the Salvos who were on the ground helping every one of those in need during the recent NSW floods.”

Executive Moves

BNP Paribas announces senior executives of Global Markets Americas division

French bank BNP Paribas has appointed several senior executives to its Global Markets Americas division, demonstrating its ambition to grow its Global Equities, Global Credit, and Global Macro franchises in the region. 

Technology

Match-Trade expands partnership with Takeprofit Tech

California-based FX technology provider Match-Trade Technologies has expanded its partnership with fintech software developer Takeprofit Tech.

<