Jointly built by CLS Group and Traiana, CLS Aggregation Services is a pre-settlement service designed to address operational risk issues caused by high frequency, low value FX trades.
CLS Group is the market infrastructure that provides risk mitigation services to the global FX market, whereas Traiana is a provider of post-trade and risk solutions.
BofA Merrill Lynch, Barclays, Citibank, Credit Suisse, Deutsche Bank, Goldman Sachs, J.P. Morgan, Morgan Stanley, and Royal Bank of Scotland are the other nine active participants.
Traiana CEO Andrew Coyne said, "In the two years since its launch, CLSAS has been instrumental in reducing operational risk and helping to unlock capacity for its users, supporting their own business growth."
Offering streamlined processing and standardized post-trade and pre-settlement delivery since its launch in January 2010, CLSAS has seen average daily volumes rising 45% to 440,000 in the first quarter of 2013 from 304,000 in 2012.
CLSAS works by compressing matched FX transactions to a single aggregate trade which is then processed for settlement by CLS.
