Instinet

Service overview

Instinet
offers execution capabilities in 46 countries via 14 trading desks globally.
The agency broker considers itself to be a proven electronic trading pioneer
having established the world’s first major electronic trading venue in 1969,
the first recognised US electronic communications network in 1997 and more
recently the Chi-X alternative trading venues.

The
firm’s experienced trading teams leverage its agency status to provide a
non-conflicted consultative partnership with its institutional client base.

Research and analytics

As
an agency execution broker, Instinet does not provide in-house research other
than market structure analysis. However, the firm does support unbundling of
research and execution, having paid nearly US$300 million globally in 2010 to
over 2,000 brokers/vendors via its Plazma commission management platform.

In
he US, Instinet partners with a handful of independent research providers,
serving as the exclusive sales and marketing arm of those firms.

The
firm’s Instinet Insight tool offers transaction cost analytics and
visualisation tools designed to guide clients through all phases of the trading
lifecycle. Insight defines optimal trading strategies, monitors the process in
real-time or analyses executed orders to help improve future performance.

Instinet
has also partnered with Intelligent Financial Systems to independently analyse
the performance of its SmartRouter.

Customisation

Instinet’s
SmartRouter and algorithms have been built to navigate the evolving market
place. Clients can add/remove venues, set defaults and priorities. Instinet
works with clients to customise algorithms to match workflows.

Client support

Instinet’s
global technical support services desks are manned in Europe, US and Asia 24
hours a day, six days a week. As an execution only broker, Instinet does not
separate the execution consulting role. All coverage traders are involved in
the execution process.