engine to drive
your e-FX business.
MFX Compass provides market makers and brokers with all of the tools required to set up and run a spot e-FX business. These include price formation, risk management, and highly detailed analytics; all of which are fully customisable to fit seamlessly into your business.
Alongside the technology, we also offer a full partnership with our experienced team, who will be on hand to deploy, operate and evolve the engine to ensure that you receive optimal results. By giving you maximum transparency and control, and the ability to minimise transaction costs, you'll be able to compete at the same level as large banks with minimal lead times.
Features of MFX Compass
- 01price & rate formation
- 02 risk
- 03 algorithmic hedging/auto-hedging
- 04 realtime
- 05 ongoing
"The MFX Compass technology platform and tooling very closely aligns to what we had already built in-house.
Therefore, it gave us a rapid uplift from a ‘first/second generation e-pricing and hedging platform,’ to having a pricing and hedging capability equal to that of a top 10 FX bank. We had their technology integrated and up and running with ours in under six months.”
For years, large liquidity providers have continued to enjoy large market share, whilst managing e-FX flow has become more challenging. This is due to more business being done through APIs and aggregators, which has made dealing not full and latency arbitrage all the more common.
As new challenges present themselves, the demand for advanced technology continues to grow. MFX Compass is designed to help you cope with the constantly evolving market, and equip you with the tools necessary to compete at top tier level. Large liquidity providers have dominated the market. Until now.
Scroll through the numerous benefits of MFX Compass below
Being able to control everything at a granular level is one of the keys to success in e-FX.
Our dashboard gives you complete fine-grain control over your business, enabling you to monitor aspects including the flow, risk, P&L, yield profiles and P&L decomposition, configure spreads and pricing tiers and control ‘last-look’. This is all displayed in a user-friendly, intuitive, and easily accessible application.
We create a clean order book by filtering and cleansing all price feeds which is used to build an accurate mid price.
From this mid-price we are then able to publish algorithmically-skewed prices for distribution to clients. Risk coming into our book will be matched where possible with the full risk portfolio (internalisation), whilst remaining risk will impact the pricing skew to find opposing flow.
If risk is not cleared through skew we first use passive hedgers to bound the risk by working a bid or offer around the mid-price to reduce risk and avoid paying spread. If the risk level becomes too high then aggressive hedgers will be triggered as a last resort.
We don’t just supply you with the tools. We also offer our knowledge and experience to in the form of a partnership, to ensure that you are maximising the benefits available to you.
We’ve taken our wealth of experience from working within leading global banks to develop MFX Compass. The resulting product enables banks and businesses to achieve the same level of success as e-FX leading banks, all provided at a fraction of the time and cost. However, we don’t just supply the tools to achieve this, but also the knowledge of how to make it profitable and commercialise it.
We firmly believe a partnership is key to success. We deploy, operate and evolve the technology in partnership with you. With a wealth of experience in leading e-FX banks, we are uniquely positioned to offer advice on how to optimize an e-business, rather than simply providing the necessary tools to do this.
A successful e-FX business requires more than accurate rates; it needs highly detailed analytics, rate differentiation, and solid risk management. And experience in using them.
MFX Compass allows you to take the steering wheel, giving you total control over your e-FX business with a tailored engine and a comprehensive suite of meticulous analytics.
We provide all the tools you need for:
- Price formation
- Portfolio based skewing
- Algorithmic hedging
- System administration, spread setting, visualisation of trades and real time analytics
- Successful commercialisation and distribution of the product
- Rate dissemination – both GUI and FIX
The MFX Compass price formation methodology
The MFX Compass dashboard provides you with all the analytics you’ll need to take charge of your e-FX business.
Having a holistic view of your business at all times is essential. The potential vulnerabilities of e-FX, such as latency arbitrage and dealing not full, need to be exposed and the flow managed. Whatever your priorities are, the MFX Compass dashboard gives you complete, fine-grain control over your business.
With fully customisable features, you’ll be able to monitor flow, risk, and P&L, configure spreads and pricing tiers, and control ‘last-look’. With a powerful suite of detailed analytics, you’ll gain access to a better overview and understanding of your e-FX flows, including the ability to identify where spreads are sub-optimal or last-look settings are wrong, ensuring every dimension of your business is optimised.
The main screen of the MFX Compass dashboard
“MahiFX’s customer service has been fantastic, we’re very happy with it. The level of one-on-one service really is second to none; whenever we require assistance, Mahi are there to help straight away and we can tell that they really care about doing their job.”
Following the increased market share of the global wholesale FX liquidity providers between 2006 and 2011, ANZ was unable to remain a realistic competitor due to the sheer scale and scope of emerging infrastructure and technology changes. For this reason, ANZ chose to partner with MFX Compass so that they could fulfil their goal of becoming the premiere e-FX market maker in the Southern Hemisphere. In April 2014, MahiFX began integrating MFX Compass into the ANZ systems, and before we knew it the engine was fully operating within the business. In order to reach their goal, ANZ needed highly advanced technology that would help them in a number of key areas. One of their biggest weaknesses was in their lack of analysis. “In terms of monitoring and developing our business, we had nothing by way of analytics at all; there was no method of accurately identifying where we were making and losing money. MFX Compass allows us to do this with such precision and detail that we now couldn’t be without it.” MahiFX were also able to tailor Compass to meet ANZ’s exact requirements; it is completely customisable, meaning clients can choose features that they need and adapt the engine to suit their personal needs.
Prior to partnering with MahiFX, ANZ had built all of their technology in-house, so finding institutional technology that fit in with their current systems was essential. Both the tooling and the platform itself were a very close match, providing ANZ with the uplift they needed, as well as the pricing and hedging capabilities equal to that of a top 10 FX bank. Finally, Compass is not purely a piece of software; MahiFX partnered with ANZ right from the offset, supporting their client and ensuring that they Compass was operating at the maximum level of productivity for them. Their pricing model further supports their dedication, as there are no upfront or hidden costs, making the installation process simple and easy. Furthermore, MahiFX use what they call a ‘shared success’ pricing model, meaning that they do not make a penny until their client begins to see profit. “This really caught our attention as something that is very fair, but somewhat unheard of in this industry; it proves that they want to make a positive change with a product they trust in, they aren’t in this business to make fast profits.
“We would highly recommend MahiFX since analysing e-FX flow has become more challenging due to an increase in business being done through APIs and aggregators.”
CFH Clearing Limited is one of the most respected and reputable STP venues for Tier 1 liquidity in the world, having established relationships with banks, brokers and professional traders across the globe. Since our launch in 2008, CFH Clearing has worked tirelessly to develop our own sophisticated technology solutions and build unrivalled liquidity for our clients. We are constantly investing time and money to improve and innovate our products for our clients. With a wealth of experience in leading e-FX banks, MahiFX are uniquely positioned to offer the necessary tools to seamlessly distribute enhanced risk management services as well as pricing and hedging decision capabilities equal to that of a top FX bank.
The MFX Compass technology platform very closely aligns to what we had already built in-house. MFX Compass’ enhanced risk and analytics solutions complemented CFH’s ClearVision Risk Management suite perfectly to offer further value added services to already market leading technology. The customer service team have been great, we’re really pleased with the level of attention and assistance throughout the integration process. MahiFX have a fantastic and experienced technical team who are always there to provide support.
Want to get to know MFX Compass a little better?
Call our sales team to discuss any questions and plan your next steps.
+44 (0)203 763 9220
115 Baker StreetLondonW1U 6RTUnited Kingdom
Level 3,50 Victoria StreetChristchurch,New Zealand
If you want to find out more about MFX Compass, simply leave your name and contact details below and we’ll be in touch to arrange set-up.[contact-form-7 id="51" title="Front Contact Form"]