Chi-X Global announced the appointment of Joseph Marchal as regional CEO for the Asia Pacific region. Marchal will be charged with growing the Chi-X trading platform in the region.
“We think that we can do for the Asia-Pacific region what we have done in Europe and, increasingly, Canada, which is create new liquidity and improve investment performance though the Chi-X model,” says Marchal. “My role will be to put this vision into action.”
Marchal adds that client demand is also driving the Chi-X expansion in Asia. “We will be working as closely as possible with our clients to ensure that we are effectively meeting their needs, which is a big reason for the success we've seen in Europe and now Canada,” he notes. “Based on the team we have in place here and our experience in the other regions, I'm optimistic that we'll get this right.”
But Marchal sees the importance of addressing regional nuances and the growth of Chi-X in Asia. “For one there is no common currency like in Europe, and secondly, there is no regulatory initiative like MiFID that will require best execution,” he explains. “That said, we think that there is enough latent demand to trade the Asia-Pacific markets that a platform like Chi-X and even others will be able to come in, grow the market, and be successful.”
Previously, Marchal served as regional CEO of Asia for Instinet, Chi-X Global’s parent company, and has spent 23 years in business in the region. “I've traded Asia extensively, both on the buy and sell side, and understand market microstructure in the region,” he says.
Chi-X is currently in discussions with regulatory bodies in Australia, Singapore, Hong Kong and Japan, with hopes to be up and running in some of those markets next year, according to Marchal.
“I've dealt extensively with these regulators since Instinet operates offices in each region, and based on experience Chi-X has gained in successfully navigating the market license process in Europe and Canada, I'm hopeful that we'll be able to successfully make our case that the Chi-X model is beneficial to everyone - brokers, end investors and the exchanges themselves - in the market,” says Marchal.