Building on the launch of their live mid-rate FX benchmarks, New Change FX today launched NCFX Umpire, a service that allows pension funds and asset managers to understand their foreign exchange costs by simply copying NCFX on their trade confirmations. Clients will then receive a daily line-by-line cost for each transaction in a single spreadsheet. A total cost of transaction is calculated allowing the client to assess their overall FX service. 

Andrew Woolmer, Managing Director of New Change FX said: “The creation of NCFX Umpire means that pension funds and asset managers can understand their transaction costs in absolute terms on a trade-by-trade basis, and on a day-by-day basis. This means clients no longer have to perform expensive post trade analysis at a later date or hire experts in foreign exchange to ensure that trades are being done fairly. Nor does the client have to change the way in which they trade as NCFX simply takes the information directly from the bank, broker or custodian’s existing trade confirmation systems. The client simply notifies their FX provider of the NCFX email address to be added to the existing confirmation process. 

Not just for pension funds and asset managers

Woolmer believes that, “Essentially we have enabled anyone who does FX to simply add NCFX to the confirmation email or their trade summary blotter and we produce a daily summary of all their deals and their cost per transaction. Essentially the goal is to offer a very simple quasi-live TCA that is helpful to the users without disrupting their dealing infrastructure.”

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CTMfile take: Increasing transparency in the FX markets is going to cut banks’ and other FX providers’ profits considerably.