IG Prime, a provider of prime brokerage services for institutional clients, has partnered with Fintech provider Centroid Solutions, which provides a wide array of services to the brokerages, including risk management services, connectivity, aggregation, and regulatory reporting.
Centroid Solutions also delivers tailored solutions to foreign exchange and CFDs brokers seeking improved risk visibility, including a proprietary bridge solution for connectivity. Its Centroid 24 risk management suite collects data and produces conclusions that help brokers understand their profitability on both A-book and B-book models of operation.
With its integrated approach to the market, Centroid Solutions is venturing deeper into what is a competitive space in the retail brokerage industry.
Commenting on the partnership, Niamh Byrne, UK institutional sales leader at IG Prime said, “IG Prime has a track record in providing deep liquidity to brokers for more than two decades. This heritage, combined with our ongoing commitment to improving our offering, helps our institutional clients to execute quickly on a range of markets from anywhere in the world, and feel secure working with a company that has a long track record of serving this market. Our collaboration with Centroid is a testament to our continual investment in faster, more intelligent execution technology, and to give institutional clients the most effective channel to access dynamic, ever-changing markets.”
IG Group launched its new prime brokerage unit in 2020 under the brand ‘IG Prime,’ which provides synthetic prime and custody services across a range of asset classes including equities, indices, FX, commodities, and cryptocurrencies. IG Prime is intended for a client segment that includes mid-sized hedge funds and family offices and other buy-side institutions, which are currently experiencing a variety of challenges, such as accessing the wholesale foreign exchange price matching community via a prime brokerage model.
The UK spread better has originally launched its prime brokerage services back in 2006 and recently strengthened its dedicated institutional offering that IG expects to yield a potential market opportunity of around £500 million.
IG Prime business introduces a liquidity pool that boasts more than 330,000 active clients making over 14 million transactions a month. The offering connects investors via a single venue and combines web-based trading with real-time reporting. IG Prime is supported by IG’s global client support network, spanning 16 countries worldwide.
“We are delighted to join forces with a world-class multi-asset liquidity provider like IG. Now, our clients gain market access via IG’s liquidity while IG’s clients benefit from our solutions in one centralised system. We look forward to working with IG to provide the best execution environment and access to global financial markets to our customers,” said Cristian Vlasceanu, CEO of Centroid Solutions.