Appital, a peer-to-peer price discovery and liquidity sourcing technology for asset managers, has adde new functionality designed to stimulate natural liquidity among Appital’s buyside clients and discover pricing dynamics on larger ADV orders on their pad.
According to a press statement, Price Discovery in Appital Insights is an industry-first functionality that enables buyside traders to invite select feedback on live orders and gain insights on potential pricing and volume before committing an order to a bookbuild or before launching a bookbuild themselves.
Buyside traders retain full control over how and when they interact with their counterparts and platform liquidity. PMs can respond to price discovery processes without generating an order in their EMS, allowing for opportunistic liquidity discovery and alpha generation.
The Appital workflow now enables new, uncommitted order types during price discovery, which can transition to committed order types once traders decide to launch a bookbuild. This significantly reduces bookbuild duration while increasing the likelihood of its success. At the same time, buyside firms retain anonymity and minimise the risk of leakage or price erosion.
Appital clients can now unlock latent liquidity by inviting specific firms to provide feedback on potential orders and – if sufficient demand is captured in price discovery – the information flows anonymously back to the originator to launch a bookbuild, and the liquidity is realised.
