Instinet’s Execution Experts algo suite has dark aggregation and allocation logic embedded. Users of the platform can either chose to access the dark pools via an overlaid strategy or exclusively by choosing the Nighthawk strategy.
Nighthawk accesses nearly all meaningful dark liquidity venues in the US, Canada, Europe and Asia-Pacific.
Nighthawk aggregates a large list of dark liquidity sources and is optimised for each venue to maximise its chances of finding hidden liquidity, whilst incorporating price modelling and allocation logic along with an array of sophisticated techniques to reduce adverse selection, signalling and potential gaming.
Instinet does not disclose its methodology.
Clients have the ability to opt in or out of destinations. Nighthawk includes a range of adjustable parameters, including minimum fill, price limits, maximum volume percentage, time frame and aggressiveness settings. Instinet’s TCA product— Insight—allows users to conduct performance and destination analysis both real time and post trade.
Service and reporting
Clients can access Execution Experts from Instinet’s Newport3 execution management solution, through multiple third-party trading systems or via direct FIX connection.
Instinet is continually enhancing its entire platform, but does not disclose specific plans for competitive reasons.