Fidessa group plc has launched BlueBox Execution Strategies, a range of algorithms designed to provide traders with short-term trading tactics that combine access to dark pools along with displayed markets.
Available immediately through the Fidessa trading platform in the US, BlueBox Execution Strategies can access and smart route to displayed and dark pools of liquidity, simultaneously or in sequence, to assist traders in with varying trading objectives.
This new range of algorithms from allows traders to automate their complex execution strategies and take advantage of market opportunities, intelligently minimising market impact while maximising trades.
Leading the charge is SPOTLIGHT, a dark pool and visible market aggregation algorithm that can simultaneously connect to and access displayed and non-displayed liquidity. The customers order is split across the available dark pools and, based on execution feedback, the algorithm will rebalance order quantity across pools with active liquidity.
The remaining BlueBox Execution Strategies include; POUNCE, which includes a technical pricing model to take stealth-like advantage of market opportunities; LADDER, which allows users to peg multiple price points within the market; and MIDMAX, which is designed to achieve price improvement by exploiting passive and aggressive trading strategies.
“We have worked closely with our user community to identify and develop these next-generation tools. With BlueBox Execution Strategies, firms will enjoy an unprecedented level of efficiency through algorithmic automation,” says Matthew Rowley, global product manager for advanced trading products, Fidessa.
In addition to this launch, the existing range of standard BlueBox algorithms, designed to achieve certain market benchmarks, has been expanded with the addition of Dark Arrival. This algorithm has been developed specifically to control access to dark pools of liquidity. Dark Arrival will route an order quantity sequentially across preferred dark pools and will then follow the Arrival Price trading model to achieve optimal results. Existing BlueBox benchmark strategies include out-of-the-box algorithms for VWAP, TWAP, Arrival Price, Percentage of Volume, Corporate Buy Back, Scaler and Exit Price.
“Since the successful launch of Fidessas BlueBox algorithmic trading engine in 2006, we have seen increased client demand for these algorithmic offerings. Todays marketplace has become increasingly fragmented, driving an even greater demand by clients for a new generation of algorithms that can be rapidly developed and deployed. Fidessa BlueBox Execution Strategies demonstrates and satisfies such needs,” says Martin Hakker, executive vice president of Marketing, Fidessa.
BlueBox, is Fidessas fully integrated, scalable algorithmic management system (AMS) that in addition to the new BlueBox Execution Strategies, already offers sell-side firms industry standard benchmark strategies as well as a framework for building and deploying their own proprietary models.
Fidessa serves over 22,000 users at around 520 clients around the world, and serves over 85% of global, tier-one equity brokers. Fidessas global connectivity network provides links to around 255 brokers, 1,500 buy-sides and 92 exchanges.