StoneX Group Inc. have announced new capabilities for OTC users of StoneX Pro, its comprehensive foreign exchange and contract for difference (CfD) platform, as the company transitions to SOFR from LIBOR.
StoneX’s trading clients now have access to SOFR caps and floors when trading swaps.
Eric Donovan, global head of institutional FX at StoneX, says: “StoneX is committed to delivering the products and services our clients need to stay ahead of the changing environment for interest rate derivatives.
“SOFR caps and floors have become the preferred hedging solution for interest rate risk as the LIBOR to SOFR transition continues amidst a higher rate environment.”
Josh Cannington, vice president of interest rate derivatives, adds: "Interest rate risks, both short-term and long-term, have not abated. StoneX Pro’s SOFR trading capabilities will offer our clients an extra layer of near-term protections should circumstances in the market change.”
