BMO Capital Markets adds TCA in bid to maximise alpha

BMO Capital Markets will integrate Trade Informatics TCA to maximise alpha, improve workflow and execution quality.

BMO Capital Markets has teamed up with Trade Informatics and will use its transaction cost analysis (TCA) to maximise alpha across its trading business.

According to Trade Informatics, the TCA system will allow the investment and corporate banking arm of BMO Financial Group to execute algorithmic trades with improved execution quality.

It also provides users with the ability to measure and evaluate trade decisions with systematic trading technology, customised to specific investment processes.

“Our focus is to gain a better understanding of our order flow, in a way that complements our existing offering across trading products,” said David Porcelli, co-head of global trading at BMO Capital Markets.  

BMO explained the decision to partner with Trade Informatics is part of its strategy to maximise trading alpha across institutional orders, whilst improving the overall workflow and execution quality across the bank’s trading franchise.

Allan Goldstein, COO of Trade Informatics commented: "Our partnership with BMO exemplifies how a standard performance measurement framework can serve to improve the quality of conversations between the sell-side and their buy-side customers.”