Northern Trust is to acquire BEx, a provider of foreign exchange (FX) software solutions, to drive innovation and growth in its Global Foreign Exchange business.
The acquisition will give Northern Trust ownership of a platform providing algorithmic FX trading, global liquidity aggregation and transparency in execution and pricing to institutional clients worldwide. The agreement builds on an exclusive partnership between Northern Trust and BEx announced in 2016.
“BEx has been a key differentiator for Northern Trust, increasing the depth and breadth of our global FX execution capabilities,” says Pete Cherecwich (pictured), President of Corporate & Institutional Services (C&IS) at Northern Trust. “In an evolving FX marketplace, this acquisition provides a foundation for sustained growth and innovation on behalf of our clients.”
Headquartered in Chicago and established in 2013, BEx is a financial technology software firm dedicated to developing automated FX trading solutions.
In recent years Northern Trust has launched distinctive solutions integrating BEx technology with Northern Trust’s global platform and deep experience in FX, including CompleteFX, a stand-alone execution service for investment managers seeking best-in-class operational efficiency and reduction of risk; and the FX Algo Suite, sophisticated client execution algorithms that allow clients to manage their FX exposure with an enhanced level of control and transparency.
“We’ve built a compelling global offering that allows clients to benefit from highly automated trade execution with enhanced transparency,” says John Turney, Head of Global Foreign Exchange at Northern Trust. “Ownership of BEx will strengthen our proven ability to bring innovative products to market rapidly, further enhancing the speed, reliability and quality of our FX services.”
Northern Trust has also partnered with Lumint Corporation, an innovative provider of currency management services, to deliver advanced portfolio, share class and look-through hedging services, complemented by sophisticated transparency and analytical tools.
Northern Trust Global Foreign Exchange, part of Northern Trust Capital Markets, provides a range of liquidity, trading, transaction processing and outsourced FX solutions for institutional investors. Northern Trust Capital Markets provides brokerage, securities lending and transition management services, in addition to FX. It is a division of Corporate & Institutional Services, which provides asset servicing, fund administration and middle office solutions to institutional asset managers and asset owners around the globe.
“This acquisition reinforces Northern Trust’s commitment to providing innovative trading, execution and outsourcing services across all asset classes and regions,” says Michael Vardas, Global Head of Northern Trust Capital Markets. “Taking full ownership of the BEx platform will future-proof our growth strategy and support our most sophisticated clients as they navigate global markets.”
