In a move to enhance market coverage and data analytics, the London-based Sucden Financial, a multi-asset execution, clearing, and liquidity provider, has renewed its agreement with Nasdaq to continue using the exchange's Risk Platform, the companies announced today (Tuesday).

Sucden Financial Extends Risk Technology Partnership with Nasdaq

The extended partnership will allow Sucden Financial to enhance its real-time monitoring, management, and mitigation of market and liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term risks across its global proprietary and client trading portfolios.

According to the announcement, the updated agreement will integrate improved safeguards and controls into the Nasdaq Risk Platform. The platform's market coverage will also be expanded to include new exchanges in Europe, North America, and Asia to meet evolving client needs.

"We prioritize effective risk management across our operations," said Mike Coomber, the Chief Risk Officer at Sucden Financial. "We are pleased to extend our partnership with Nasdaq and continue enhancing the platform, which helps us manage market and liquidity risks across multiple asset classes in real-time."

The Nasdaq Risk Platform is part of Nasdaq's Marketplace Technology business. As one of the world's largest market infrastructure technology providers, Nasdaq offers solutions across the trade lifecycle to over 130 marketplaces, clearing houses, central securities depositories, and regulators globally.

"In an ever more volatile environment, real-time risk calculation serves as a great competitive advantage, improving capital efficiency and reducing financial burden," Malcolm Warne, the Nasdaq's Head of Product for the Nasdaq Risk Platform, commented and welcomed the opportunity to deepen the company's relationship with Sucden Financial.

Founded in 1973, Sucden functions as a subsidiary of a prominent soft commodity trading group. The firm extends a broad spectrum of trading services to its clientele, encompassing various asset classes, such as forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term, metals, soft commodities, energy, equities, and financial instruments.

Sucden’s and Nasdaq’s 2022 Results

Sucden Financial recently disclosed its financial results for the year 2022, showcasing a stable revenue pattern. The company achieved a net revenue of £69.5 million, closely aligning with the previous year's figure of £69.8 million. This consistency extended to its profitability, with pre-tax profits slightly increasing from £18.3 million in 2021 to £18.4 million in 2022.

The firm witnessed a recovery in its financial performance over the past two years, overcoming the downturn experienced in 2020. The impact of the pandemic significantly affected Sucden's operations during that period, leading to a drop in revenue and profits. Contributing factors included client defaults, necessitating full provision by the company, and the temporary closure of the London Metal Exchange.

On the other hand, Nasdaq demonstrated robust activity in the Initial Public Offerings (IPO) segment during 2022. It successfully hosted 156 IPOs, cumulatively raising $14.8 billion. Nasdaq's prominence in the IPO market was further highlighted by its facilitation for seven out of ten of the largest global IPOs by proceeds, including notable entities like TPG and Mobileye.

Last year additionally saw the listing of 71 SPACs and 85 operating companies on Nasdaq, reinforcing its position as a market leader for the ninth consecutive year. Furthermore, there were 29 company transfers from other exchanges to Nasdaq in the same period.