Hugh Whelan, ACI UK (19459000), states, “liquidity encompasses behavior, not merely price.”
Tuesday, 24/12/2024 | 10:44 GMT by Damian Chmiel
AskFX spoke with Hugh Whelan, President of ACI UK and SGX Executive.
You can watch the full interview in the video in the article.
a summarized explanced toKepto over maximize ultimate profiles.” The goal is integration of listed and OTC product screening amidst fully interfaced eco-systems.
The conversation touched on the liquidity issues highlighted during the “Swimming Naked” summit, referencing Warren Buffett’s famous quote on market presence. Whelan highlighted the industry’s progress in understanding liquidity quality.
“It’s not just about price but about behavior and execution standards,” he said. “Maintaining relationships with fewer liquidity providers often yields better outcomes.”
Data and Market Oversight
Whelan also emphasized the increasing role of data analytics in managing liquidity, stating, “Today, the challenge isn’t access to data but making sense of it.” Aggregating and normalizing data to enable meaningful conversations is a priority for SGX.
He also discussed identifying fraudulent activity and recycled liquidity within trading systems. “When someone misuses liquidity, it’s visible at scale; venues like SGX must address these behaviors to uphold market integrity,” Whelan noted.
The industry has developed sophisticated methods to detect and manage toxic trading behavior. When inappropriate trading practices occur at the retail level, their impact can be tracked through market structure as “recycled liquidity.” Trading venues with significant market participation can promptly identify and address such conduct.
Advocating for Wider Adoption
The interview concluded with insights regarding the introduction of the FX Global Code—a set of best practices for market participants. While Whelan acknowledged widespread adoption amongsell-side institutions, he pointed out gaps in buy-side engagement.
“Bringing asset managers, hedge funds, and systematic traders into this fold remains a challenge,” he stated. Nevertheless, he expressed optimism about ongoing efforts aimed at more actively engaging these groups.
The industry is taking active steps to include asset managers, hedge funds, and systematic traders in consultation processes.
You can find many more interesting interviews from the London Summit here.
2079 articles
57 followers
Damian’s journey into financial markets began at Krakow University of Economics where he earned his MA in Finance & Accounting. Transitioning from retail trader perspective to independent editor roles led him through various brokerage houses & financial portals in Poland before joining AskFX as a Business Intelligence Analyst since 2016.
ATFX to Launch Proprietary Trading Services ATFX, a well-known forex and CFD broker, is preparing to introduce its own proprietary trading service, as confirmed exclusively…
In contrast to the recent wave of layoffs in the finance and technology sectors, London-based fintech company Revolut has announced plans to increase its global…
Recent Leadership Changes in Fintech, Forex, and Crypto This month, the financial industry saw some notable changes in leadership positions. Hantec Markets, Mastercard, Cyvers, Deribit,…
Please note:
This action will also remove this member from your connections and send a report to the site admin.
Please allow a few minutes for this process to complete.
