London-based FX analytics specialist BestX has signed up Citadel Securities, a global market maker across a wide range of asset classes, as the first non-bank liquidity provider (NBLP) client to use its third-party best execution analysis platform for FX electronic trading.
Through the partnership, Citadel Securities will offer seamless connectivity to the independent transaction cost analysis (TCA) service. The US trading firm’s clients will be able to have their trades sent automatically to BestX for independent post-trade transaction cost analysis, and also benefit from single sign-on integration.
The deal could also be seen as a response to increasing transparency requirements which define the conduct of all market participants, including the need for buy-siders to prove best execution. It allows Citadel’s customers to achieve and demonstrate best execution through post-trade transaction cost analysis (TCA) when trading electronically with Citadel.
Citadel Securities deals with a multitude of asset classes including equities, futures, options, treasuries, foreign exchange (FX) and swaps markets. More specifically, the group provides several market-making and liquidity solutions geared primarily for institutional clients across fixed income, cash and derivative products.
Citadel Securities is a unit of Citadel LLC, which also runs one of the world’s largest hedge funds, and is led by billionaire investor Ken Griffin.
Commenting on the deal, Kevin Kimmel, global head of eFX at Citadel Securities, said: “Quality execution and transparency are at the core of our client offering and partnering with BestX helps us demonstrate this. We have always supported transparency in the marketplace and view this partnership as another important step forward.”
Oliver Jerome, co-founder of BestX, added: “Citadel Securities’ adoption of our FX Analytics moves BestX another significant step towards our goal of being the industry standard for FX TCA.”