FIX Highway moves to flat-fee pricing for fixed income trades
FIX Highway, a financial information exchange API, is changing its pricing model in a move that is expected to cut the cost of trading by as much as 90%. The firm is replacing its toll and markup model, where it charges a fee for each trade executed, with a flat-rate monthly fee. Current mechanisms to access liquidity in fixed income markets are at the expense of investors and market participants, according to Dan White, the firm’s CEO. White said FIX Highway will continue to work on improving its product as fixed income markets continue to evolve.

FIX Highway has announced a new flat-rate monthly fee model for trading fixed income, eliminating transaction fees for traders.

The new model is set to reduce the cost of trading by as much as 90% and provide more room for profitability, FIX Highway said.

FIX Highway is a ‘plug-and-play’ model that is independent and neutral, providing direct access to counterparty liquidity.

Through the FIX messaging protocol and connectivity between parties for messaging, there will be no need for a transaction toll – instead moving to a monthly flat fee.

FIX Highway explained users have the assurance that their information and trading is never conflicted or compromised, with the only thing in the middle of the trade is a FIX message.

Chief executive officer of FIX Highway, Dan White, said the current mechanism to access liquidity and trade are at the expense of the investors and market participants.

He added that FIX will continue “to improve upon and to provide a platform that truly advantages the fixed income markets as they are going through an electronic revolution.”