BGC Group, Inc. (NASDAQ:BGC) announced today that Bank of America, Barclays, Citadel Securities, Citi, Goldman Sachs, JP Morgan, Jump Trading Group, Morgan Stanley, Tower Research Capital and Wells Fargo have minority owners of FMX stock, with a post-money stock valuation of $667 million.
FMX combines BGC’s US cash platform with its spot FX and US interest rate futures platform, and will leverage BGC’s proven low-latency trading infrastructure and global distribution to further support liquidity in the futures market interest rates.
“We have brought together ten of the world’s leading investment banks and market makers to create a premier trading venue for the fixed income markets,” said Howard W. Lutnick, Chairman and CEO of BGC Group and Chairman of FMX. “We offered ownership to this incredible investment group knowing the tremendous value they bring to FMX, which will benefit all market participants.”
FMX Futures, which received CFTC approval in January, is expected to launch in September 2024. FMX’s US Treasury cash platform, FMX UST (formerly Fenics UST), has increased Order Book market share Central Limit each successive quarter. FMX UST closed Q1 2024 at 28%, up from 26% in Q4 2023.
“With the support of these leading financial firms, we believe FMX will become a rapidly growing futures platform and generate significant returns for our mutual clients,” said Lou Scotto, CEO of FMX. “With our clearing partner, LCH, the world’s largest interest rate swap, clients will receive significant portfolio margin capabilities, creating competitive advantages in the US interest rate markets.”