MillTechFX taps ex-HSBC CEO Stuart Gulliver as advisor
“As we continue our mission to create a fairer, more transparent FX market, Stuart’s knowledge and critical thinking is a perfect addition to the strong team we’ve built to date.”
MillTechFX has appointed ex-HSBC chief executive Stuart Gulliver to its International Advisory Board as his wide experience in international finance will help the fintech continue its rapid growth and execute its global expansion plans.
Stuart Gulliver joins Sir Ronald Cohen, Vikram Gandhi, and Chairman Alan Eisner on the international advisory board of Millennium Global’s subsidiary.
Stuart Gulliver is an industry veteran and leader who joined HSBC in 1980 and only retired from the bank after 38 years. During that time, he went on to lead the HSBC Group worldwide, serving as both Chairman of The Hong Kong and Shanghai Banking Corporation Limited and CEO of the HSBC Group from 2011 to 2018.
Current roles include being the Director on the Boards of Saudi Aramco, Jardine Matheson, The Saudi British Bank, and The Airport Authority of Hong Kong. He also advises the Hong Kong Stock Exchange.
Eric Huttman, Chief Executive Officer of MillTechFX, commented: “Stuart’s reputation and experience gained at the helm of one of the world’s largest global banks speak for themselves. I am delighted that he has joined our Advisory Board and, on a personal note, to have the former CEO of the bank that I started my career at is a tremendous honor. As we continue our mission to create a fairer, more transparent FX market, Stuart’s knowledge and critical thinking is a perfect addition to the strong team we’ve built to date.”
FX execution and hedging solution
MillTechFX executes $760bn in annual FX volume and manages over $19.5bn in institutional currency mandates. The firm offers a cost-effective FX execution and hedging solution for corporate treasurers and asset managers.
The firm provides clients with direct access to comparative wholesale FX rates from 10+ liquidity provider banks and transparent best execution.
The company has recently launched the margin-free foreign exchange (FX) hedging solution in partnership with Investec Bank.
Average investment lifecycles for private debt funds last one to five years, and private equity fund terms are closer to ten. This poses a long-term exposure to currency risk, usually hedged at the fund or share class level by the manager using FX forward contracts.
FX forward contracts, however, have their downside for alternative investment managers: many banks request collateral to be posted upfront (initial margin) and on an ongoing basis (variation margin), leading to a cash drag on the funds.
MillTechFX and Investec have come up with a solution that allows managers not to have their AUM held back to meet a margin call.
The new margin-free hedging solution solves this issue by removing the need for fund managers to post initial and/or variation margin.
The solution frees up cash to invest more capital and to increase operational efficiency and doesn’t jeopardize best execution.