The bank has deployed CobaltFX’s Analytics offering, which augments CobaltFX’s Dynamic Credit system.
French banking giant BNP Paribas has added to a solution that it’s using to streamline the allocation of credit for FX transactions between banks — Dynamic Credit from CobaltFX — with the deployment of the CobaltFX Analytics offering, officials say.
The newly launched CobaltFX Analytics offering builds on the Dynamic Credit product, which has been designed to help firms manage credit allocations across electronic communication networks (ECNs) and single dealer platforms, officials say.
The system offers customizable alerts and notifications for credit allocations and exposure, and real-time automated kill switches across multiple venues, officials say.
The additional analysis will help BNP Paribas as it is “now covering in excess of 100 counterparty banks across 12 ECNs and the use of the analytics package allows it to hone its use of credit even further by highlighting where it can be reduced, while at the same time expanding the bank’s ability to trade in the markets,” say officials at United Fintech-owned CobaltFX.
“We see this as an important initiative to address regulatory and industry body concerns about the over-allocation and inefficiencies of credit distribution on dealer-to-dealer venues,” says Joe Nash, head of global macro digital at BNP Paribas, in a prepared statement.
The combination “allows us to right size our limit for each counterparty whilst improving market access with them,” Nash adds.
CobaltFX is based in London, England.
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