Bloomberg has launched a new multi-asset pre-trade transaction cost analysis (TCA) solution, to integrate execution intelligence into proprietary trading workflows, The TRADE can reveal.
The move marks the first time that firms will be able to programmatically access Bloomberg’s pre-trade TCA at scale through an API.
Through this integration – spanning both pre-trade and in-trade execution intelligence and analytics specifically for fixed income and equities workflows – firms can apply a more consistent analytical framework across a broader range of trading activities.
Moreover, the new offering also provided capabilities including leveraging best-in-breed execution insights for key asset classes, as well as reducing manual processes and operational friction.
“Firms are increasingly looking for flexibility to access the strongest trading analytics and decision-support tools for each asset class and stage of the trade lifecycle,” said Vlad Rashkovich, global head of quantitative trading research and analytics at Bloomberg.
“Our pre-trade TCA is the result of years of independent research helping buy-side and sell-side firms make more informed execution decisions across multiple asset classes. By making these insights available through API, we’re enabling firms to bring execution intelligence directly into the trader’s cockpit to enhance execution outcomes with speed and consistency.”
The solution is also expected to address common pre-trade TCA challenges faced by traders, including applications limited to small portions of order flow, which creates a gap between available analytics, and those that can be incorporated into daily execution decisions.
Yven P. Scholz, head of electronic trading and services at Allianz Global Investors, said: “Bloomberg’s new pre-trade fixed-income TCA API provides precise, real-time bond pricing that accounts for trade side and order size. In our testing, estimated transaction costs closely aligned with realised execution costs.
“Having these reference points available ahead of execution can give traders valuable insight into expected costs and support more informed, optimised execution decisions.”