...Established Market Making Franchise: Virtu Financial, LLC's (Virtu, or the firm) ratings reflects its established market position as a technology-driven market maker across various venues, geographies and products, its solid scale, good operating performance, experienced management team that has executed against strategic objectives and the expectation that Virtu will maintain reasonable liquidity in a lower volatility environment. Additionally, Fitch Ratings believes that Virtu's market-neutral trading strategies in highly liquid products and short holding periods minimize market and liquidity risks. Operational Risk, Elevated Leverage Constrain Rating: Primary rating constraints include elevated operational risks inherent in technology-driven trading, reliance on volatile transactional revenue, the firm's primarily secured, concentrated corporate funding profile and the firm's weaker cash flow leverage and interest coverage metrics relative to historical norms. Solid Operating Margins:...
