US buy-side traders can now be ‘linked in’ to receive auction invitations in a way similar to being ‘friended’ on a social networking site.
Trading venue operator AX Trading has created pre-built lists of institutional traders which can be targeted when an AX member initiates an auction on The AX Trading Network.
“Many traders are already members of groups on LinkedIn or other social networking sites,” said Joe Costa, director of operations at AX Trading. “We are simply bringing that same concept to the world of trading.”
Already, AX members can target high-level categories such as ‘buyside only’ or ‘holders only’ when initiating an AX auction. When an auction kicks off, these members are sent electronic invitations to participate in the auction. But the new Targeted Trading Groups now let auction initiators target a pre-defined list of invitees.
AX said it had created Targeted Trading Groups for all major industry groups and several sub-sectors, including traders who specialise in financials, REITs, energy, healthcare, biotech, utilities and industrials. It is in the process of qualifying and accepting members into the Targeted Trading Groups.
“The markets have gotten too dark," said Kevin Callahan, CEO of AX. “Traders want to interact and trade with known counterparties. The AX Targeted Trading Group program is all about that.”