Bloomberg Tradebook has established a platform for its equities and options trading, specifically designed to meet best execution requirements.
OPTX employs Bloomberg’s agency execution model and global connectivity alongside real-time data to improve execution and reduce costs.
It provides clients with a single platform and, through the use of technology, responds to real-time data and changing market conditions to re-route strategies and counterparties to ensure best execution compliance.
“Today, buy-side traders are faced with the pressure of proving best execution while having to sort through a long list of electronic trading options and adapt to the ever-changing regulatory landscape,” Bloomberg Tradebook said.
OPTX has been applied to the firm’s equity and options trading and includes benchmark algorithms based on order, market and broker characteristics.
Glenn Lesko, CEO and president at Bloomberg Tradebook, explained optimising the execution process is critical to creating a competitive return for the buy-side.
“OPTX is addressing some of our clients’ greatest concerns by reforming the agency execution model and adapting to market changes,” he said.
The Financial Conduct Authority in the UK recently said the pace of improving client outcomes for best execution has been too slow and few firms have a cohesive strategy in place.
Buy-side firms have been urged to consider whether they have a comprehensive strategy in place, which should include the testing of funds and client portfolios to ensure they aren’t paying too much and ensuring the execution policies accurately reflect business models.