SGX taps exchange trade platform M-DAQ to launch multi-currency trading prototype

The platform will let investors access embedded interbank FX pricing at the point of transaction without slippage.

The Singapore Exchange (SGX) partnered with cross-border solutions provider M-DAQ to roll out a view-only multi-denomination automated quotation solution SGX-listed securities as a proof of concept, an announcement revealed.

M-DAQ’s platform will enable investors to view, track, and trade securities in multiple currencies within a single liquidity pool. The scheme will allow stock exchanges to shift to the next generation by becoming multi-currency by letting investors have price certainty, including the ability to place limit orders in their preferred foreign currencies.

Moreover, M-DAQ will also enable embedded interbank FX pricing at the point of transaction without slippage for both institutional and retail investors.

“The ability to trade in multiple portfolio currencies will enhance risk management and access to our securities market, which is home to many international issuers and investors,” SGX executive vice president and head of equities and fixed income Chew Sutat commented.

According to the announcement, the partnership’s view only prototype for investors will allow them to view real-time prices of the component stocks of the Straits Times Index (STI) in selected currencies. In addition, comparison charts are also available for investors to assess historical prices against the various currencies.

“The M-DAQ solution was developed for global exchanges like SGX to facilitate international trading of equities and increase velocity of trade due to price certainty,” M-DAQ founder and CEO Richard Koh explained. “SGX is already one of the most international exchanges globally and this solution is well placed to further the internationalization efforts of SGX.”