Leading asset managers are building low-touch, multi-asset trading desks to deliver automation wherever possible. Building automation into the trading process requires the asset manager to define best practices around volume, asset class and timeliness of liquidity, then building appropriate rules into the execution process. John Adam, global director, Portfolio Management…
FX
How to build automation into your FX workflow
The ‘nuisance’ trades that asset managers have to handle in foreign exchange create a complex web of orders for long-only firms. Advancing their FX trading capabilities in order to improve the timing and costs of trading through automation can create real efficiencies. However, bringing automation into the workflow requires trust,…
FX liquidity is changing, be careful
The timing of foreign exchange trades, their market impact and explicit costs must all be considered by asset managers’ trading teams, as they try to optimise investor returns. While banks are reducing their risk appetite, they are showing clients greater transparency on executable prices on-screen, clearing the risk rather than…
Multi-asset trading analytics can drive better trading performance
Trading performance analysis across assets will create welcome feedback for the trading team says Cathy Gibson, head of trading at Royal London Asset Management, but there are significant complexities in providing a meaningful picture for an asset manager. Appropriate performance benchmarks are very different, data availability is inconsistent and the…
Getting the most value from multi-asset TCA
Transaction cost analysis (TCA) can have very positive effects on everything from trading to the investment process, if it is implemented well. However, while equity TCA is relatively mature, there are serious challenges in other asset classes, which require traders to track down robust data sources and conduct rigorous appraisals…