Fidessa, the provider of trading, investment and information solutions, has announced the next step of its strategy by offering access to a Post-Trade Confirmation Hub to its network of over 4,000 buy- and sell-side companies. This allows its customers to confirm trades using the standardised and free-to-use FIX protocol which is already embedded in their systems, avoiding more expensive proprietary systems from companies like Omgeo.
This provides another route to cost reduction for all of Fidessa’s customers, in the less glamorous (and admittedly less costly) world of the back office. It will allow the company to support its customers across a wider swathe of the value chain and to offer a greater portfolio of service-based solutions in the medium term. The hub is already used by 300 of Fidessa’s sell-side customers, using Fidessa’s existing post-trade workflow.
This move should be well received by Fidessa’s customers (and its shareholders) and is another example of Fidessa building a global position as a indispensible component of the trading and settlement cycle. Further rapid strategic development could well lead us to a more postive view of the company’s revenue outlook.
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