How SIREN FX differs from established market benchmarks
The Transparency Problem
What did you really pay to execute on 4pm fix?
- Asset owners and their asset managers are required to use consistent methodologies to value the inputs in and redemptions from their funds.
- This involves using established benchmarks or ‘fixings’ to price and value this foreign exchange activity on a daily basis.
- Due to their design, these benchmarks lack the transparency to identify the risk of market impact and manipulation.
- As a result, asset owners are often unaware of the true cost of investment-related foreign exchange activity.
The SIREN FX Solution At A Glance
Understand exactly what benchmark execution costs you
- SIREN FX was created to address the structural issues outlined above in 'the transparency problem' by:
- Providing a transparent methodology for calculating currency rates
- Using FCA regulated and approved independent FX mid-rates, and
- Protecting investors by offering a longer ‘window’ for market participants to reduce market impact (excess costs).
- The SIREN FX data feed helps banks to execute more efficiently, by minimising tracking errors, and with reduced financial and regulatory risk.
- SIREN FX allows pension fund trustees and asset managers to better fulfil their fiduciary duties and best execution obligations.