Barclays
Barclays Equities Electronic Trading applies a global, data driven approach to research and development for its algorithms, which gives the firm access to a larger talent pool, a more sophisticated base of intellectual property and a globally consistent offering. |
Technology
Presently, the firm plans to introduce its Hydra
liquidity-seeking algorithm to Japan, build a dark pool in Hong Kong, and offer
its algorithm suite in Indonesia and Thailand.
Barclays seeks to ensure each algo has proven to be stable
and reliable before further innovation is introduced. This is achieved through
in-depth automated testing and extensive risk controls.
Customisation
Some of the more innovative customisations have
occurred around Barclays’ implementation shortfall and Hydra algorithms. The
firm has taken on board requests for more efficient client customisation
through, for instance, supporting a momentum biased implementation shortfall
function.
Overall, Barclays views any customisation revolving around
access to liquidity. It’s Hydra algorithm, which minimises slippage while
maximising liquidity consumption across dark and lit venues, is one algo that
has addressed this in regions outside of Asia.
Development
Barclays’ development efforts are a collaboration
of technology and product. Technology is responsible for writing the code, the
infrastructure and building the product. The product teams are responsible for
all trading logic and driving the direction of the product to meet clients’
needs.
The firm’s Asia algos are built from the best-of-breed
components developed by a global team and assembled by product and technology
teams on the ground in Asia to ensure a competitive and stable electronic
product, which is part of a global platform tailored to local markets.