Bank of America Merrill Lynch (BAML)
Bank of America Merrill Lynch (BAML) program trading offers access to the MSCI developed, emerging and frontier universe with 11 portfolio sales traders based in Hong Kong, Tokyo and Sydney offering agency, guaranteed and risk execution. A dedicated middle-office team with total visibility oversees global trades.
The Portfolio Swap facility is designed to allow efficient swap trade management. BAML also offers an integrated execution model utilising local expertise where appropriate enabling access to all execution routes to ensure best execution whilst maximising crossing opportunities.
A fully integrated global order management system allows complete transparency where needed. A dedicated regional client facilitation team can provide capital where appropriate.
BAML offers full visibility into flows from all products across the region allowing maximisation of crossing opportunities where appropriate.
Alternative venues accessible include: MLXN (BAML’s internal crossing network), Chi-X Australia, Japannext, Chi-X Japan and Instinet.
BAML program trading can be used for passive index rebalances and cash flows, long-only active switches, transition management desks, liquidity seeking implementation shortfall, quantitative funds and cash balanced switches, derivatives driven hedges placed around the close, Japanese domestic cash flows using guaranteed strike prices during lunchtime and active money switches using blind strike.
Furthermore, the firm facilitates ADR/GDR switches sourcing liquidity on the local exchange and provides bookings/settlement with the DR line. Contingent futures execution and regional cash management are commonly used strategies, and ETF creations and redemptions accessing liquidity in the local markets are also supported.
Pre- and post-trade analytics
The bank offers a full reporting suite for pre-trade analysis including skews, liquidity and impact plus risk analysis across tracking error, beta and market impact cost. Post-trade is shown against all the usual execution benchmarks including participation-weighted price.