Metzler Bank is Germany’s oldest private bank with an unbroken tradition of family ownership and a strong and award-winning expertise in currency management alongside other business lines.

Service:  NCFX supply Metzler Bank with an independent transaction cost analysis (TCA) application through which they can upload trade files, perform analyses on trades, run reports and monitor trading quality.

Client Category:  Asset Manager with particular Currency Management expertise.

Key Areas of Client Focus:

Transparency and Regulation

Metzler act as a fiduciary asset manager towards their clients and therefore charge only the management and performance fees that they levy under the investment management agreement.  As such it is very important for Metzler to be able to demonstrate to clients that their execution processes are cost efficient, and that their clients are achieving the best possible outcome for their FX portfolio by using Metzler’s skills.

By working with NCFX, Metzler Bank can demonstrate this efficiency regularly and against an independent, regulated measure of the FX markets.  Metzler Bank is also able to fully automate its RTS 28 reporting, updating the report directly from the NCFX platform.

Counterparty Ranking

NCFX supply Metzler Bank with metrics that enable the regular ranking and assessment of partner banks and brokers.  NCFX make it easy for Metzler Bank to assess their partners on an automated basis that does not penalise banks unfairly.  This facilitates a fair and independent judgement of the service quality being offered by the various banks and ensures compliance with the related rules. In addition, the data used by NCFX is regulated by the FCA, so neither banks nor investors can have any reason to doubt its objectivity in providing these rankings.

Execution Analysis

To continue evolving the Metzler Bank product and to ensure class-leading execution remains at the heart of the Metzler product, it is important to continually assess execution quality.  NCFX deliver detailed analysis across various metrics to Metzler Bank.  This enables the assessment of execution so that Metzler Bank can constantly monitor and adjust execution approaches as required. This includes assessment of algos, liquidity and timing in order to improve performance.

Summary

By working with NCFX, Metzler Bank has been able to use regulated independent data to measure transaction costs on a demonstrably independent basis.  The benefits of this analysis accrue solely to their clients who can rest assured that in trusting Metzler Bank with their FX execution they are trusting a business that values independent oversight of their execution processes.