November 26, 2018
Refinitiv enhances Thai baht FX benchmarks through WM/Reuters spot rate service
Introduces trade data for THB/TOF Thai baht from Matching
London/Hong Kong – Refinitiv, formerly the Financial and Risk business of Thomson Reuters, is enhancing the WM/Reuters Thai Baht Spot FX Benchmarks with data sourced from Matching, Refinitiv’s anonymous central limit order book. This has allowed the Thai Baht (THB) and Thai Baht Offshore (TOF) benchmarks to become ‘trade’ currencies using the WM/Reuters Trade Methodology. This change was launched on 1 October 2018 and is available now.
Previously, the THB/TOF benchmarks were calculated from indicative interbank quoted rates, provided by multiple financial institutions. Following analysis about the feasibility of introducing transactional data from the available FX trading platforms and a public consultation, Refinitiv found that the inclusion of data from Matching achieves the necessary requirements regarding sufficiency, quality and data hierarchy to evolve these benchmarks to become trade based.
Refinitiv’s WM/Reuters service provides the timeliest, transparent and reliable spot rates covering 150+ currencies. For more than 20 years, WM/Reuters FX rates have served as fully independent, objective, and unbiased sources for FX data. Refinitiv’s published and transparent calculation methodology is fully aligned with the IOSCO Principles for Financial Benchmarks. The WM/Reuters 4pm rates are administered by Thomson Reuters Benchmark Services Limited, authorised as a Benchmark Administrator under EU BMR.
Matching provides award-winning trade matching capabilities in FX spot, forwards, swaps and non-deliverable forwards.
Stephan Flagel, Global Head of Benchmarks at Refinitiv said, “The WM/Reuters FX Benchmark is valued by clients worldwide and we are proud to evolve the THB/TOF benchmarks to reflect accurately the new reality of the market, recognizing its enhanced liquidity and transparency. Our WMR leadership and colleagues at Refinitiv have unparalleled market expertise and work closely with diverse market participants globally to ensure that our benchmarks are compliant with global regulations, are calculated using multiple broad and liquid data sources, and are subject to stringent quality controls to connect and empower the global financial community. The evolved Thai Baht benchmarks are case in point.”
For more than a quarter of a century, Refinitiv has been designing, calculating, governing, and publishing the financial benchmarks that lie at the heart of the global financial system. Refinitiv is the administrator of more than 30 key rates and calculation agent for over 40 critical national and regional interest rates and FX benchmarks in 12 different countries, such as Singapore, Hong Kong and Russia. For more information about Refinitiv benchmarks, visit here.