London-based e-trading technology startup TransFICC has raised a $17 million funding. The round was led by AlbionVC and saw the participation of all existing institutional shareholders, including Citi, HSBC, Illuminate Financial, ING Ventures, and Main Incubator (the early stage CVC unit of Commerzbank). The company had earlier raised a $7.8 million funding in April 2020.
The new capital will be used to expand its engineering teams, develop new products, open new offices in New York and Brussels, and add to its salesforce.
The platform aims to resolve the issue of fragmentation in fixed income markets by providing banks and asset managers with a unified low-latency, robust and scalable Application Programming Interface (API). Its ‘One API for e-trading’ platform provides connectivity to multiple electronic trading venues while supporting a variety of workflows across fixed income products.
Steve Toland, co-founder, TransFICC said: “As banks and asset managers focus on automating trading workflows to deliver increased efficiency, our ‘One API’ has been implemented at some of the largest fixed income trading banks and exchanges.”
Tom McKee, co-founder, TransFICC added: “We have already built a modern, robust and cost-effective alternative to legacy systems, but driven by client requirements we are expanding our product suite to deliver a full e-trading system, which will enable clients to also trade manually using our software.”
Going forward, the platform wants to support additional venue connectivity and automated workflows in the U.S. rates and credit markets, including the U.S. Treasuries, High Yield, Investment Grade, IRS, Repos, Munis, MBS and CDS products. Additionally, new products will be developed, which includes a complete e-trading system, incorporating a trader desktop interface.
“The company’s one API for e-trading service has a huge opportunity to become the defacto standard API gateway between banks and trading venues. Our faith in the API’s superiority and future success is borne out by the eight banks and two Exchanges that are now using it, as well as the long pipeline of prospective clients,” said Cat McDonald, investor, AlbionVC who joins TransFICC’s board.