Fix Trading Community has extended the Trading Enablement Standard Initiative (Tesi) to include foreign exchange (FX) client enablement.

Tesi, a collaborative initiative launched by the investment banking community and Etrading Software, uses Fix pre-trade and trade messaging protocols to achieve standardised communication for trading enablements.

“The extension of this initiative to FX is an important step towards multi-asset class straight through enablement, which will allow dealers to manage a previously manual process electronically,” said Sassan Danesh, co-chair Fix Trading Community over-the-counter (OTC) products committee.

Tesi will now allow FX market participants to change pricing streams, map accounts, authorise new instruments or even suspend clients for trading and a message will be automatically distributed to all relevant parties using a standard protocol.

Last year Tesi designed and implemented the Fix standard to manage the complex process of enabling clients on fixed-income trading platforms.

This was driven by the influx of trading venues as a result of the Dodd-Frank regulation, which led banks to seek better control over client permissioning in time for the Swap Execution Facility (SEF) launch in 2013.

As a result of collaboration with the FX community, Tesi is now available to clients using FX execution platforms for FX spot, forwards, swaps, FX options, NDFs and precious metals trading.

“All of us in the FX industry share a common goal: simplifying FX trading, reducing costs, and streamlining processes,” said Neill Penney, workflow management proposition manager at Thomson Reuters. “Which is why we support this initiative.”