Trading Technologies International (TT) has acquired derivatives margin analytics platform OpenGamma.
Justin Llewellyn-Jones
The acquisition will allow OpenGamma’s margin optimisation and capital efficiency tools and analytics to be directly integrated into TT’s platform, to enable automated trading and position transfer workflows.
As a result, the integration is expected to enhance TT’s current multi-asset offering, by reducing risk and enhancing efficiency across the platform’s entire trade lifecycle.
Speaking to The TRADE, Justin Llewellyn-Jones, chief executive of TT, said: “The culture of OpenGamma is very collaborative and adaptable. We look for organisations that have a good cultural fit, and engaging with Peter and his team, we recognised that we’re similar in our outlooks and the way that we approach the markets.
“In the first few months of next year we will be getting in front of the customers and engaging with them to gather feedback on their business needs and pain points to understand what will drive the most value. That’s how we will shape our product roadmap as we go through next year.”
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Moreover, the addition of OpenGamma will enhance TT’s client base across hedge funds, while OpenGamma will also gain access to a broader range of sell-side bank clients.
“We have a good number of clients that already use both of our platforms. The reason those clients are particularly interested in this transaction is they can see what we do on the treasury side. If we can now integrate these analytics into the front-office, then it’s a more efficient way of unlocking savings. There are complementary offerings at the moment for different users within these firms, but there is a natural alignment we can offer together,” said Peter Rippon, chief executive of OpenGamma, speaking to The TRADE.
“TT is a much bigger platform than OpenGamma, with a broad reach across the market. That creates an opportunity for us to take the analytics that we’ve been working on with the clients that we have today and taking that to a much broader audience, where we can help them unlock efficiencies, not only on the treasury and risk management side but in the front office.”
The integration of OpenGamma follows further expansion of TT’s platform in recent months. In July, the firm made a minority investment into fintech SIGMA AI, expanding the two’s existing partnership.
As part of the investment, SIGMA AI will provide a proprietary AI and innovation hub for TT, in a bid to enhance AI integration into TT’s platform and support adoption across the provider’s products and services.
