Investment bank J.P. Morgan has added two new algorithmic strategies to its MorganDirect AlgoX algorithmic order execution service for foreign exchange (FX) and made the suite available from Bloomberg terminals.
AlgoX is a suite of order execution strategies that uses a smart order router to aggregate multiple liquidity sources. MorganDirect is a platform providing access to real-time executable streaming rates for spot, forward, swap and option transactions for over 300 currency pairs. The platform combines access to liquidity and straight-through processing.
The two new strategies, TWAP+ and TimeSlicer, have been added to the existing AlgoX strategies. TWAP+ is a time weighted average price algorithm that allows users to specify a passive, balanced or aggressive order style. TimeSlicer is an aggressive time-weighted strategy, which routes orders to the liquidity sources offering the best price. TimeSlicer prioritises J.P. Morgan’s internal liquidity pool to minimise market impact.
“With AlgoX now available via both Bloomberg and MorganDirect, J.P. Morgan’s institutional FX and rates trading platform, traders have a choice of venues through which to access our algorithms, said Eddie Wen, global head of e-commerce for foreign exchange and rates at J.P. Morgan, in a statement. “Algorithmic execution provides a way for clients to efficiently access liquidity and achieve optimal execution within the FX market and we believe it is the next big wave in e-commerce innovation.”
The MorganDirect platform is accessible from a client’s desktop, BlackBerry mobile communications device or now Apple’s iPhone, following the launch today of a MorganDirect iPhone application.