Processing FX Algos
With Damian Bierman, Head of Asia-Pacific Operations, Portware
Portware has the ability to implement a straight through processing layer that reads proprietary signals from a customer’s OMS and creates recommendations to traders or follows signals systematically through execution. The system constantly evolves and learns based on each trading experience and trader interaction. Campbell needed a trading platform that would integrate seamlessly with its proprietary order management system and give traders one platform to execute orders against any bank, ECN or interdealer offering. We also have the ability to provide comprehensive pre- and post-trade transaction cost analysis (TCA) and quickly identify liquidity trends.
The algorithm characteristics are varied from ultra-passive to ultra-aggressive and can combine internal customer research data and Portware analytical components enabling them to trade with a number of different strategies on both streaming liquidity and posted venues.
As the FX market continues to become increasingly electronic, firms are beginning to recognise how FX algos and integrating this element of trading with a more holistic set of TCA can be a competitive advantage. Both the buy-side and sell-side need to keep pace with new industry standards, and automating critical trading systems and the relevant data capture is a key part of this.
Adding on FX in most cases is as simple as adding the appropriate liquidity providers and deploying the FX specific look and feel components. The entire system is built to easily add on features where and when needed quickly and painlessly.
The way Campbell trades is somewhat unique. Their client base is global and full of complexity. Portware built features in the system to help create synthetic term trading solutions while also keeping in mind the need to book trades at a base currency and supply the appropriate information to their OMS and internal repositories.