Expert opinions
Best execution in Asia: is it only about the algorithm?
Published on January 14, 2008.
Brokers in Asia: a profile for tomorrow
Published on January 14, 2008.
A better spread
Published on January 14, 2008.
Dealing with distinction
Published on January 14, 2008.
» Choosing the right path to market
Published on February 17, 2007.One of the keys to a successful securities lending programme is an understanding of the requirements of both the beneficial owners and the service providers, writes Blair McPherson of RBC Dexia Investor Services.
The booming hedge fund sector is creating new levels of demand for lendable stock. There is strong competition for every securities lending mandate, leading to greater market effectiveness and innovation.
The economics of OTC derivatives processing
Published on February 17, 2007.Today, it costs 50-times more to process and value an OTC derivative transaction than an equities trade, notes Paul Stillabower, head of business development, Europe, HSBC Securities Services. Without widespread adoption of ubiquitous standards in the processing and valuation of OTC derivatives, this situation seems set to continue. The industry is urged to take note.
Are agency brokers prepared to span the investment cycle?
Published on February 17, 2007.Is there a common understanding of what agency brokers can offer buy-side firms? Joseph M Velli, chairman and CEO of the BNY ConvergEx Group, believes not.
Agency brokers are hardly a novel concept. Yet, expectations of what services agency brokers can provide to institutional buyside clients are still rather narrow. Is there such a thing as a generic template for agency brokerage services? The answer in my view is no. Not all agency brokers are equal. Is there a generic understanding of what an agency broker does? Again, I would say no.
Raising the algorithmic bar
Published on February 16, 2007.Owain Self, executive director - equities, UBS Investment Bank, dispels the notion that dedicated algorithms are needed to trade lower-cap names.
There is a common belief that the way to keep an algorithm happy is to feed it large quantities of data. On that basis, the more frequently a stock trades and the greater its trading volumes, the more effective an algorithm is likely to be in trading that name.
The building blocks of markets
Published on February 16, 2007.Brian Schwieger, head of EMEA Algorithmic Execution at Merrill Lynch, explains the role of data in defining and revising algorithmic trading strategies.
Data is the building blocks of markets and the essential component of effective algorithms. While good data does not ensure good algorithms, no algorithm can perform without a constant feed of fresh data. Yet it is not only in the execution phase, but throughout the entire trade cycle that data is crucial. Each phase of the trading process must be informed by specific data sets.
