Fox River algos target US-Canadian dual listings

Financial technology company SunGard has extended its Fox River suite of algorithms to cover the Canadian equities market as well as the US, enabling institutional investors in the two countries to profit more easily from inter-listed equities and access a larger pool of liquidity.

Financial technology company SunGard has extended its Fox River suite of algorithms to cover the Canadian equities market as well as the US, enabling institutional investors in the two countries to profit more easily from inter-listed equities and access a larger pool of liquidity.

Fox River is SunGard’s algorithmic development team. Instead of focusing on benchmarks, Fox River’s trader logic technology is designed to seek and secure the best possible price under current market conditions. The team promises to help asset managers reduce information leakage, improve trade fill rates and achieve best execution.

“There are hundreds of Canadian firms that are dual-listed on Canadian and US exchanges,” said Bob Santella, chief operating officer for SunGard’s Fox River and Valdi trading solutions in the US. “Fox River’s automated, cross-border trading tools help customers capitalise on those lucrative opportunities and access all possible liquidity pools, including traditional exchange and alternative trading systems.”

In February last year, UBS launched algorithmic trading for clients dealing in equities dual-listed on Canadian and US exchanges. The UBS solution provided seven algos for Canadian users and 12 for US clients.  Meanwhile, agency broker Instinet operates a US-Canadian inter-listed smart order router, which simultaneously works an order for dual-listed stocks on both Canadian and US trading venues to find the optimal execution price and facilitate single currency settlement.

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