Institutional trading network Liquidnet has extended its commission management services (CMS) to its European members.
The service, which enables buy-side firms to better monitor and manage their commission and research targets, has been offered in North America since 2011.
European members will be able to use the Liquidnet Commission Analyzer ad the Liquidnet Commission Aggregator.
The CMS will enable buy-side firms to gain insight into their commission spend and balances for brokers, currencies and asset classes worldwide.
Its aggregator will enable firms to monitor and manage their commission sharing agreements, clinet commission agreements and soft dollar accounts through its web-based application.
Mark Pumfrey, head of EMEA for Liquidnet, said: “A lot of buy-side firms have been looking at updating their commission management processes, with many relying on spreadsheet-based systems or older technology that has become outdated as the business has become increasingly complex. What we are delivering is a system designed specifically for the buy-side that is much more robust and easier to use and meets their current needs.”
Firms can generate efficiencies by using the service to pay bills, tracking commissions and payments and reconcile trades through a single portal.
The CMS also offers T+1 trade reconciliation and insured balances.
Demand from European clients was a key driver behind broadening the service and Liquidnet said it in talks with a number of interested buy-side firms.
“The real driving force behind bringing this service to Europe was demand from our members. With regulatory changes going on in Europe, such as the Financial Conduct Authority’s recent letter on commission management, our members need to be able to take better and more timely control of their commission spending,” adds Pumfrey.