Saxo Bank and UBS are becoming partners in CLS

Gentofte Saxo Bank has partnered with UBS in the settlement of FX transactions through CLS Bank using UBSs CLS third-party services. This agreement provides for the reduction of settlement risk, inherent in traditional FX transactions, while enhancing settlement efficiency, operational management and liquidity. Continuous Linked Settlement (CLS), the global initiative designed to reduce cross-border settlement risk, initially in the foreign exchange markets, went live almost a year ago. CLS marks a watershed in the evolution of foreign exchange business. This is due to the significant risk reduction and cost savings it delivers to active market participants. In October of this year, CLS settled more than 100,000 sides a day valued at over USD 1 trillion each day. As of October, there have 16.2 million sides settled with a gross value of USD 180 trillion. Saxo Banks designation as a third party member of the rapidly expanding CLS network comes just days after the Danish investment bank received Euromoney Magazines award for Best cross-product trading platform for private investors.