FairXchange Launches AI-Driven Alerting Tool for FX Liquidity Data Analytics

Financial technology firm FairXchange has introduced a new artificial intelligence-powered alerting system, named Horizon Sentinel®, aimed at enhancing foreign exchange (FX) liquidity data analysis. 

Horizon Sentinel® is designed to quickly identify commercially significant changes in a financial institution's liquidity and counterparty activity. The system aims to streamline the process of analyzing FX liquidity data, potentially freeing up valuable time for traders and salespeople to act on identified opportunities. Additionally, the tool can automatically notify compliance and management teams of specific changes, such as significant shifts in transaction costs or notable alterations in trading activity from particular client groups.

The new offering complements FairXchange's existing analytics suite and is available as an optional module within the company's Horizon data analytics platform. Several of FairXchange's long-standing clients, including Sucden Financial, have already trialed the system.

Guy Hopkins, Founder and CEO of FairXchange, highlighted the positive reception of Sentinel during its testing phase. He stated, "During our testing period, Sentinel has had an overwhelmingly positive response, transforming conversations between liquidity consumers and liquidity providers. In high complexity trading environments, it is becoming progressively harder for people to keep on top of all the recent developments. Sentinel watches your business for you and provides timely, automated notification of important changes as soon as they occur. This improves productivity, substantially reduces opportunity cost and allows clients to focus on what adds the most value both to their own firm and their counterparties".

Wayne Roworth, Global Head of FX at Sucden Financial, one of the early adopters of the tool, shared his experience: "We have been actively using the Sentinel AI tool in Horizon for several months, and it has had a substantial positive impact on our business. We have a complex trading business with many important counterparties, both on the liquidity provider and client side. FairXchange's AI driven alerting empowers our team to keep abreast of every change in the business."

Roworth further elaborated on the benefits: "Sentinel allows us to quickly identify potential changes and act upon them immediately. It informs my team and me of everything we need to know, allowing us to proactively manage dialogue with our counterparties. In particular, our liquidity providers very much value the fact that we can play an active role in monitoring the flow, highlighting areas of potential concern that we can then work on together. This makes for a much more balanced relationship, which importantly allows us to differentiate ourselves from our peers."

He concluded by noting the tangible impact on Sucden Financial's operations: "The dialogue that this data facilitates, and the speed with which we can act upon it, has resulted in numerous improvements to our liquidity that have allowed us to increase our client volumes and associated revenues."

FairXchange, a subsidiary of United Fintech, specializes in data science for foreign exchange markets. The company's core mission is to promote commercially sustainable trading practices for both buy-side and sell-side participants in the FX market.