Koscom built STP HUB network with Tradeweb

Koscom announced on the 16th of March that the company has entered into an agreement of making cooperative relations on order routing network with Tradeweb (a multi-asset class online marketplace) which is owned by The Thompson Corporation and ten leading global dealers. 

According to Koscom, both companies agreed to provide services to domestic membership corporations in order for institutional investors like securities firms to route a fast and convenient online stock trading order by installing an exclusive line between Koscom’s STP (Straight-Through Processing) HUB and Tradeweb’s Routing Network.

In the past, both Korean financial community and overseas investors had to put a lot of money and spend so much time in making a separate routing to connect from different places. From now on, Koscom’s connection service will significantly cut system developing and setup time by connecting overseas investors and domestic financial services with ease.

Roger McAvoy, Regional director of Tradeweb, said, "The service will allow Tradeweb clients to have liquidity for a wide range of Korean counterparts and give some encouragement to expand the service for the overseas market."

Tradeweb routing network for stock trading is one of the world’s largest FIX network connecting all securities dealers over the world and its service allows sending industry standard order settlement FIX messages exchanged between institutional investors and securities firms.

Throughout the securities firms in more than 50 countries including Asia, Europe and the Americas region and 7,000 institutional investors, Tradeweb is playing a leading role for electronic stock trading in the emerging markets as well as in the industrialized countries.

Koscom will create a global HUB for data exchange with around 700 financial services spread over the world and promote the trading affairs with using high efficiency of STP along with execution of the Capital Market Consolidation Law. In addition, Koscom will expedite the progress for expanding the range of asset applications regarding securities and futures and scheme to make contributions on technical side of the government’s Northeast Asia financial HUB policy.

Both companies will shortly form a committee consisting of representatives from each corporation to practice the agreement and make progress together through regular and irregular meetings.