Welcome to Baton’s first podcast series ‘Transforming Financial Markets’. Hosted by Baton’s Founder & CEO Arjun Jayaram, the podcasts will be exploring innovation in payments and post trade processing. Each show will feature special guests and thought leaders who are shaping the future of the markets.
In this episode we are delighted to be joined by industry expert Sunil Cutinho, President CME Clearing, in conversation with Arjun about FX and the challenges of managing settlement risk.
A recent BIS report, highlighted the significant settlement risk the industry is facing as FX volumes grow.
In this podcast we discuss:
- How should firms view risk, primarily performance risk and settlement risk?
- How do these risks converge or diverge in the FX markets?
- Having access to the right capital at the right time
- Managing the netting window, netting amounts, and liquidity risk
- Different payment models, PVP, DVP, and payment on payment
- The inefficiencies in payments are not completely a technology problem
- What impact are new technologies having in payments and post-trade processing?
- How will settlement finality develop and evolve in the medium to long term
To find out more about how Baton is transforming Financial Markets visit Baton Systems | Payments accelerated