IXE Financial Group, one of the larger broker-dealers on the Bolsa Mexicana de Valores, has hooked up to the SunGard Global Network (SGN Securities) through SunGard’s GL Win trading station.
The network accesses 2,000 financial institutions and 110 markets world-wide and provides order routing for equities, fixed income and listed derivatives.
Carlos Manuel Ramírez Cervera, director of electronic services, IXE said that the low cost and time to market of SGN had been crucial in its selection, which allows the broker to execute orders from a significantly expanded customer base of sell-side clients servicing their own buy-side clientele. “Our main clients are sell-side institutions in the US that provide execution services to buy-side clients. The other main market we see flow from is Brazil, where many international desks are situated for Latin America,” he said.
Cervera adds that US buy-side clients primarily use a domestic single broker to execute to reduce the cost of maintaining multiple contracts. “The flow from the New York and Sao Paolo hubs relies on us providing cheaper execution via the algorithms than they could otherwise achieve via a trader,” he explains.
IXE’s expanded relationship with SunGard will help the firm trade globally using SGN and execute electronically with GL Tactics, which will provide IXE with the ability to create, deploy and execute trading strategies and algorithms such as TWAP, VWAP and percent volume.
In addition to New York and Sao Paolo, IXE is planning to expand aggressively in London and Paris, where local firms could see a cost advantage in connecting directly to the broker, rather than connecting indirectly via a US firm.
IXE also uses the Bloomberg, Marco Polo, RealTick and Fidessa networks to access liquidity and clients.