Electronic trading is by far the leading method of equity execution in Europe, according to the first European Equities e-Trading survey conducted by the Securities Industry and Financial
Electronic trading is by far the leading method of equity execution in Europe, according to the first European Equities e-Trading survey conducted by the Securities Industry and Financial Markets Association.
Based on interviews with nearly 100 leading buy-side institutions, the survey indicates that access to multiple sources of liquidity is the most important factor for buy-side firms when selecting electronic trading platforms.
Respondents identified various factors driving increased adoption of electronic trading among European asset managers and hedge funds, including greater efficiency, reduced costs, MiFID and other best execution requirements, and greater control over order flow.
The majority of respondents said the primary factor influencing their choice of electronic trading platforms was access to multiple sources of liquidity and the range of products offered, followed by speed of execution and ease of integration.
The survey identified liquidity fragmentation, integration of order management and execution management systems and best execution policies as the three leading challenges facing buy-side trading desks.
‘The survey highlights the buy-side’s need for flexible, multi-asset and broker-neutral electronic trading platforms, a model that Portware has long endorsed,’ says Harrell Smith, co-head of product strategy at the trading solution provider.
‘Portware’s trading solution offers access to multiple brokers and market destinations and true cross-asset trading as well as seamless integration with existing workflow applications and support for regulatory initiatives including MiFID and Reg NMS. Portware’s flexible, open architecture allows firms to navigate an increasingly dynamic and technology-driven marketplace with a single, cost-effective trading solution.’
Portware enables buy- and sell-side clients to create and modify trading strategies and algorithms and supports single order, portfolio, program, pairs, and index trading, across multiple asset classes. It includes tools for transaction cost analysis, risk management, real-time reporting, algorithms and analytics.
Since its launch in 2000, the company has seen its solutions implemented at more than 100 firms worldwide including quantitative hedge funds, traditional asset management firms and sell-side programme trading desks.