A Chat With Eric Huttman, CEO at Independent FXaaS: MillTechFX

MillTechFX is an innovative FX-as-a-Service provider offering an independent, comparative multi-bank FX marketplace designed specifically for corporates and fund managers, with a pinpoint focus on reducing their FX execution costs and operational burden.

It harnesses the purchasing power of Millennium Global, one of the world’s largest specialist currency managers with 25 years of FX expertise, USD 760 billion in annual FX volume and USD 18.9 billion assets under management.

Clients get direct access to institutional-grade rates from 10+ counterparty banks on an easy-to-use platform, enabling best execution with full transparency and minimal friction.

 

MillTechFX Logo

 

What makes MillTechFX different to other FX marketplaces?

 

The key difference is that MillTechFX delivers the key trifecta of automation, integration and validation. Our innovative FX-as-a-Service offering allows client to benefit from our market access, pricing power and operational resource to deliver a tech-enabled integrated solution that delivers transparency, cost reduction and operational burden reduction.

The foreign exchange (FX) market is the largest financial market in the world with a daily trading volume of $6.6 trillion. Despite its size and liquidity, we believe that the FX market isn’t fit for purpose for many asset managers and corporates. For too long they have had no choice but to suffer from significantly overpaying for their FX requirements or the operational agony of managing multiple relationships to seek (though often in vain) best execution.

We’re therefore making it our mission to level the playing field for these firms by delivering a wholly new model which provides access to multibank FX rates, institutional-grade execution and transparent pricing, all in one marketplace.

MillTechFX has been machine-tooled from the bottom up with non-FX professional users in mind and is intuitive and customisable, offering a frictionless, streamlined workflow from execution to reporting and settlement.

Transparency is at the heart of each stage of the execution process. We offer real-time reporting and independent transaction cost analysis that allows customers to see the total cost of their FX execution and demonstrate best execution.

 

How has the FX market changed over the past five years?

 

One of the most prominent trends in the foreign exchange (FX) market, expedited by the Covid-19 pandemic, has been the notable increase in organisations seeking to embrace digitisation as a way to streamline operational processes.

The latest Citi Treasury Diagnostics Report found that 57% of treasurers are looking at transformative opportunities across their treasury function, while research from HSBC found that 70% of treasurers and 81% of CFOs believe the digitisation of treasury processes has become more important over the last three years. This is a clear indication that an increasing number of asset managers and corporates are moving away from traditional, cumbersome FX processes. Instead, they are embracing simple, tech-enabled solutions which digitise the FX process from initial price discovery right through to reporting at the end of the trade lifecycle.

 

What’s the next big thing for MillTechFX?

 

As we continue our mission to create a fairer, more transparent FX market, we’re excited to be expanding our team and on-boarding new talent and expertise. We were delighted to welcome Stuart Gulliver, former CEO of HSBC Group, onto our advisory board earlier this year – on a personal note, to have the have the former CEO of the bank that I started my career at is a tremendous honour. He joins city grandee Sir Ronald Cohen, renowned Harvard professor Vikram Gandhi and industry stalwart Alan Eisner on our international advisory board.

Similarly, our customer base and ambitions are global, which is why we recently opened our first European office in Paris. Having received regulatory approval from both French financial authorities – the Financial Markets Authority (AMF) and the Prudential and Resolution Control Authority (ACPR), we are now ready to work with European asset managers and corporates who have been underserved for decades. Lots of exciting stuff on the horizon – watch this space!