ICAP is in the process of launching a foreign exchange forward electronic brokering platform internally and may roll it out as a view-only platform via the Internet. Donald McLumpha, director, London/Europe of the electronic broking division, said ICAP is in the process of testing the platform and expects to start using it in about three months.
The firm will begin with short-dated contracts for the group of seven major currencies, as they are the most liquid, but could extend into long-dated contracts if there is customer demand. McLumpha said the major benefits to the trader are straight-through processing and more information, such as past rates.
The firm will only launch a full brokering site, where customers can trade between themselves, if there is customer demand, he added.
