Ten Global Investment Banks and Market Making Firms Join BGC's FMX as Minority Equity Owners

BGC Group, Inc. (BGC Group), a leading global brokerage and financial technology company, announced yesterday (April 25) that its FMX Futures Exchange (FMX) has secured supports from ten world-leading banks and market-making firms, reaching a market value of $667 million.

According to the announcement, Bank of America, Barclays, Citadel Securities, Citi, Goldman Sachs, J.P. Morgan, Jump Trading Group, Morgan Stanley, Tower Research Capital, and Wells Fargo have now become minority equity owners of FMX.

In January this year, FMX obtained approval from CFTC​ to trade U.S Treasury and SOFR futures. The future trading platform is expected to be launched in September 2024.

Lou Scotto, CEO of FMX, said: "With support from these leading financial firms, we believe FMX will become a rapidly growing futures platform and create important efficiencies for our shared clients. With our clearing partner, LCH, the largest clearer of interest rate swaps in the world, clients will receive significant portfolio-margining capabilities, creating competitive advantages across U.S. interest rate markets."

Isabelle Girolami, CEO of LCH Ltd, said: "LCH is excited to partner with FMX to deliver product innovation and margin savings, which will enhance the competitiveness of U.S. derivatives markets for its members."

Geoff Weber, Head of G10 Rates Flow Trading at Citi, commented: "FMX's unique protocols provide a fresh competitive edge across rates, FX, and futures markets. The impressive growth in market share that FMX has experienced recently enhances market liquidity and positions FMX as a potential catalyst for increased competition, particularly within the futures market. This innovation not only promises to elevate market dynamics but also aims to lower costs for all market participants, signaling a forward-looking shift."

Kristen Macleod, Head of Americas Macro Distribution and Co-Head of Global FX Distribution at Barclays, added: "FMX is going to drive innovation and competition across the rates, FX and futures markets. As a key investor, Barclays looks forward to delivering the benefits of our investment to our clients through improved execution and competitive fees."