BME Group has launched a transaction cost analysis (TCA) service to allow market participants to better analyse the quality of execution they receive from their brokers.
The service will allow clients to assess execution quality by comparing prices negotiated by the broker for each stock with those posted by the market, including regulated markets and Multilateral Trading Facilities (MTFs).
The Spanish trading group – full name Bolsas Y Mercados Españoles – announced its new VisualTCA service will use the underlying technology which supports its subsidiary Visual Trader.
In a statement, Jose Parga, chief executive officer of Visual Trader, said: “VisualTCA will help investment services firms provide a better service and will contribute to greater transparency in execution services, in line with recent discussion papers published by the European Securities and Markets Authority.”
At the end of each session, users will have the option to download a TCA report which has a summary and cost analysis broken down by market, client, broker and trader.
The service also allows for users to choose their own quality rations and to generate bespoke reports for clients or for internal use.