David Puth Aims to Double CLS’ Currency Trading Coverage

CEO David Puth speaking to the crowd.As the CEO of CLS Group Holdings AG, David Puth guides a leading foreign exchange market transactions provider. Speaking with FX Week in October 2012, he discussed his firm’s ambitious goal to double the number of currencies settled over the next decade.

CLS currently covers 17 currencies, a number that has not changed in more than four years, when the company added the Israeli shekel and Mexican peso. Though Mr. Puth did not give specific timeframes, he noted that the firm is working with China, Thailand, Russia, Chile, and Brazil to enable them to become CLS currencies. The CEO’s commitment to accelerating the currency introduction process reflects an awareness that settlement risk represents the single greatest uncertainty in today’s FX market infrastructure. By effectively doubling currencies covered and creating a superior risk-management system, CLS seeks to alleviate the risks that banks face in terms of settlement risk, the largest identifiable risk in the FX market.

CLS Team Focuses on Risk Management and Capacity-Building Strategies

CLS Group Holdings AG CEO David Puth spoke with FX Week in an October 2012 interview about his current strategic initiatives. Identifying risk as a primary focus, David Puth detailed his firm’s ongoing efforts to increase its ability to comfortably handle a wide range of potential market stress situations.

The executive’s emphasis on risk reflects an extensive background in risk management that spans high-level roles with JPMorgan Chase and State Street Bank in Boston. He noted that significant investments have been made in CLS risk resources in recent years, and that he is specifically impressed with that aspect of the firm’s capabilities.

CLS is also directing efforts to address future market needs. With settlement volumes expanding to record highs, Mr. Puth is pursuing strategies intended to meet projected demand. Describing his executive role as a “balancing act,” the CEO seeks to right-size CLS system capacity in a cost-effective manner.