In a video interview with John Lothian News, FIA Tech CEO Nick Solinger discussed the recently announced partnership with eClerx to enhance its Trade Data Network (TDN) and the launch of a collaborative help desk.
Solinger described TDN as an industry initiative designed to consolidate diverse data sources in the exchange-traded derivatives market. This market’s diversity, with firms trading across global exchanges using different systems, often led to operational disruptions during high-volume days or unexpected events such as conflicts or shifts to remote work due to COVID-19.
TDN aims to unify these disparate data sources, providing clients with confirmation matching to track trades globally in real time, Solinger said. It’s connected to multiple exchanges and clearing members, offering GPS tracking of trades, facilitating quick error identification and resolution.
Solinger said that approximately 10% of trades have issues at any given time, emphasizing the importance of identifying and addressing risk events, such as misdirected trades or unregistered voice transactions, in real time to prevent significant industry losses. The partnership with eClerx plays a crucial role in this regard.
When asked about why FIA Tech was the right entity to address these challenges, Solinger pointed to its extensive experience in the industry, connectivity with global exchanges, and brokerage processing capabilities.
The ongoing partnership with eClerx stemmed from their collaborative work on various service lines. Many of FIA Tech’s clients already used eClerx services, making the partnership a natural extension. Additionally, eClerx’s expertise in trade operations positioned them well to establish a trade operations team. The initiative successfully launched in Q4 2023 and is being extended to all TDN clients.
Solinger explained that while FIA Tech was heavily investing in the TDN initiative, they aimed to maintain positive gross margins in their core utility products and services. Their focus remains on delivering value to the industry while keeping operating costs low.
Reflecting on FIA Asia in Singapore, Solinger highlighted the event’s significance, especially in the context of Asia’s growth as a futures hub, particularly in India. He praised the event’s attendance and mentioned discussions around cybersecurity and operational resilience as key themes during his panel.