State Street Corporation (NYSE:STT) today announced the expansion of its Fund Connect ETF portal through API upgrades, now offering coverage to all clients worldwide, including Europe and the APAC region.
Fund Connect ETF APIs have been available in the US and Canada for years and account for almost half of North American order volume.
Fund Connect ETF is a global online portal that facilitates the creation and redemption of ETFs, designed as a single point of access to multiple issuers. The portal’s automated order routing solution provides access to ETFs in multiple currencies, providing a direct link between Authorized Participants (APs), orders, sub-advisers and sponsors.
This API extension enables global market participants to scale their businesses and capitalize on efficiency gains and risk reduction through the gateway’s automated API technology.
“This expansion responds to growing demand from our valued APs, particularly those in Europe and APAC, who have expressed strong interest in leveraging State Street’s better connectivity,” said Lori Coakley, Fund Connect’s head of global operations. . ETFs on State Street. “This not only meets the growing demand for simplified and automated ETF creation and redemption processes, but also further cements our position as a leader in the ETF industry.”
The ETF market has seen unprecedented growth in recent years, leading to increased demand for increased automation in origination and redemption. Recognizing this trend, State Street is responding to the evolving needs of APs by upgrading one of the most integral parts of State Street’s GlobalLink product suite. With this improved API integration, customers worldwide will now be able to seamlessly place orders directly with funds through their own Order Management Systems (OMS).
“Global API connectivity is the next logical step in the continued digitization of our ETF servicing business,” said Frank Koudelka, Global Head of ETF Product at State Street. “Nearly 100 authorized participants communicate their creation/redemption orders worldwide on behalf of our ETF clients to State Street through Fund Connect. “The consistent theme we heard from them is the desire for system-to-system communication as opposed to web portals, and Fund Connect is now the first fully API-enabled origination / redemption portal across Asia Pacific, Canada, Europe and the United States. further demonstrates the innovations that State Street has brought to the market as the largest global provider of ETF services.”
Fund Connect ETF is an integral part of State Street Global Markets’ suite of award-winning electronic trading platforms.