REDI Global Technologies has announced the launch of the latest version of it Spread Trader tool via its platform.
Spread Trader allows users to pair trades using ‘market neutral- strategies’ like ratio, risk arbitrage and relative price, to increase spread capture and reduce risk.
It is one of the first functions to be rolled out on REDI’s platform following a recent technology upgrade.
Product manager for REDI’s spread trading and derivatives, Adrian Stack, said the technology’s beta users found it to be a “significant step forward in terms of performance and usability.”
One of the firms involved in testing of the new tool was Chicago Capital Management. Its CIO and founder, Steven Gerbel, said that as a merger arbitrage fund, its alpha is driven by its ability to spread trades.
“We've participated in the beta testing of REDI's new Spread Trader for the past three months, and have been very impressed with its performance and intuitive design,” Gerbel explained.
Thomson Reuters announced last month it is to acquire REDI, to expand its buy-side services through integrating the firm's trading tools.
REDI's execution management system, REDIPlus, will be integrated into Thomson Reuters Eikon and Elektron services to from a "broker-neutral" trading platform.