Liquidnet, the global institutional trading network, today announced the launch of its Next Gen Algo suite, designed to enhance the trading performance of its asset manager Member community around the world with precision tools built to address the complexities of institutional trading. Liquidnet’s Next Gen Algos, in development for more than a year, have been engineered to address three key institutional needs: seeking large-scale liquidity, outperforming benchmarks, and trading portfolios.
“Our Next Gen Algos are the only ones that leverage Liquidnet’s deep and diverse pool of institutional liquidity spanning five continents and 13.7 billion shares in more than 7,500 symbols. As one of the few unconflicted, agency-only brokers with expertise in lit, dark, and block markets, we are uniquely positioned to design execution strategies that can navigate complex markets to efficiently access the liquidity that institutions need. And now, it’s all available through our integrated trading platform: Liquidnet 5,” commented Rob Laible, Global Head of Liquidnet’s Execution & Quantitative Services (EQS) Group.
To leverage this core liquidity, which accounts for around 20% of Liquidnet’s algo volume, Liquidnet is also introducing a feature that enables traders to set specific conditions and parameters for when they will accept a block opportunity while executing in the broader market.
“What we’ve heard consistently from our Members is that their biggest challenge is finding the liquidity they need while striving to achieve best execution. Not only do the execution tools need to be robust, they also need to operate from an institutional trader’s perspective, tap into all valuable sources of liquidity, plus have the logic to prioritize and interact with it all effectively. After all, algos can only be as good as the liquidity they access,” Laible added.
Commitment to Execution Services and Quantitative Trading Strategies
Formed in 2014, Liquidnet’s EQS Group has grown considerably in the past year with strategic hires in both New York and London. “We leveraged our own in-house expertise and top technologists to design the Next Gen Algos suite, and then we went out to the market to find the best engines to power our ideas,” said Scott Kartinen, Head of Algo Products at Liquidnet. “Our focus for the rest of the year and into 2016 will be to deliver the next generation of execution tools, service, and support to maximize efficiency, protection, and effectiveness in the pursuit of best execution.”
Starting with US equities trading this week, Liquidnet’s Next Gen Algos will roll out globally over the coming months and into 2016.
Liquidnet is the global institutional trading network where more than 780 of the world’s top asset managers and other like-minded investors come to execute their large trades with maximum anonymity and minimum market impact. As the global leader in large block trading, Liquidnet provides access to unique trading opportunities in 43 markets across five continents. Liquidnet approaches every market with the same bold vision to provide a better, more efficient way to trade on a massive scale. It is this focus on size, combined with the strength of its network, disruptive technology, and commitment to transparency, that is revolutionizing the way equities and corporate bonds are traded, and the way public and private companies raise capital. For more information, visit www.liquidnet.com and follow us on Twitter @Liquidnet.
© 2015 Liquidnet Holdings, Inc. and its subsidiaries. Liquidnet, Inc. is a member of FINRA/SIPC. Liquidnet Europe Limited is authorized and regulated by the Financial Conduct Authority in the UK, is licensed by the Financial Services Board in South Africa, and is a member of the London Stock Exchange and a remote member of the Warsaw Stock Exchange and SIX Swiss Exchange. Liquidnet Canada Inc. is a member of IIROC and a member of the Canadian Investor Protection Fund. Liquidnet Asia Limited is regulated by the Hong Kong Securities and Futures Commission as a licensed dealer and a provider of automated trading services pursuant to the Securities and Futures Ordinance and is regulated by the Monetary Authority of Singapore as a Recognized Market Operator. Liquidnet Japan Inc. is regulated by the Financial Services Agency of Japan and is a member of JSDA/JIPF. Liquidnet Australia Pty Ltd. is registered with the Australian Securities and Investment Commission as an Australian Financial Services Licensee, AFSL number 312525, and is registered with the New Zealand Financial Markets Authority as a Financial Service Provider, FSP number FSP3781.