Investment bank Credit Suisse’s Advanced Execution Services (AES) electronic trading unit has launched a suite of algorithmic strategies for trading Indian equities.
The suite includes Credit Suisse’s SNIPER and GUERRILLA liquidity-seeking algorithms and its INLINE strategy, which is designed to minimise implementation shortfall. It also includes traditional strategies that seek to divide trading volumes up over time and aim to trade at the volume-weighted average price of a stock. The algorithms have been adapted to the Indian market.
“Sophisticated liquidity-seeking algorithms will help deliver better execution to clients trading Indian equities,” said Brook Teeter, head of AES sales for Asia-Pacific, in a statement. “Investors will be able to automate their trading strategies and customise the algorithms to serve their objectives. This will help them reduce signalling risk and market impact, and to access liquidity at the optimal price.”
Credit Suisse AES began offering direct market access (DMA) – a prerequisite for algorithmic trading – in India in September 2008. India’s securities regulator, the Securities and Exchange Board of India, approved the use of DMA by institutional clients in April 2008. Credit Suisse AES was the first foreign broker to launch DMA in Malaysia in January 2008, and the first foreign broker to launch DMA in Indonesia in August 2008.