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The past year has seen vast improvement across the algorithmic trading space when it came to hedge funds’ strategies, new data from The TRADE has found. High scores for ease of use prove the clear satisfaction among hedge funds utilising algo strategies, cementing the notion that desired developments within the technology are being met.
The near-constant stream of mergers and acquisitions across both the sell- and buy-side appears to show no signs of abating as two assetmanagement deals have been announced in the past 24 hours. In the same week, Redburn merged with Atlantic Equities – creating a London-headquartered transatlantic broker.
If you want to work in the most cyclical role in the finance industry, it’s hard to beat commodity hedge funds. Many of the largest hedge funds put commodity trading within their global macro strategies , but plenty of smaller funds, banks, and desks make it a separate category or focus on commodities within their macro strategies.
Instead, a combination of rising interest rates, inflation, soaring energy prices and geopolitical tensions have hit hedge funds, and subsequently the risk management practices of prime brokers. Elsewhere, other local regulatory changes and benchmark replacements continue to impact prime brokers.
Specifically, the new entity would be a leading player in long term savings assets for insurers and pension funds, BNP Paribas said in its Thursday statement. billion, and Deutsche Bank agreeing to acquire institutional broker Numis in a £410 million deal. The post BNP Paribas to pay €5.1
Historically market structure in foreign exchange (FX) has lent itself to ISDA-based, direct bilateral trading, meaning buy-side firms – in particular real money firms who don’t have the capabilities to use a prime broker model – are often locked into these relationships with banks based on credit lines.
“We are excited to build out this new clearing eco- system in collaboration with market participants and are already in advanced discussions with a wide variety of firms, including banks, assetmanagers, broker-dealers, and agent lenders – representing beneficial owners like pension funds and UCITS – to help ensure a smooth launch in the (..)
Royal London AssetManagement’s (RLAM) trading team is no stranger to change. The London-based assetmanager has undergone not one but three makeovers in recent years as it continues to evolve with the demands of the street. More recently though, RLAM’s trading team has undergone another revamp.
In the first half of 2024, research budgets have increased both as a proportion of assets under management as well as in absolute terms, Substantive Research has found. As a proportion of assetsmanaged, US budgets rose 15%, with European budgets up a more modestly by 4%.
With this integration, TS Imagine users will now be able to: calculate margin requirements, optimise collateral usage in derivatives markets, analyse drivers and movement in margin exposure, reduce initial margin levels, and maximise margin efficiency.
Saphyre’s technology manages the onboarding and maintenance of custody, broker trading, and buy-side accounts. Among the most recent names are Jupiter AssetManagement, abrdn and Legal and General Investment Management. Captial Group has become the latest buy-side firm to integrate Saphyre’s technology.
But the headwinds have subsided, and the tailwinds have finally arrived in the form of new fund launches, a rise in allocations and increasing returns for funds, not to mention the continuing emergence of multi-strategy hedge funds. That’s adding a level of interest in the sector again by allocators. billion in 2023.
Deutsche Börse Group subsidiary SimCorp and infrastructure and technology provider for digital assets, Alloy, have entered a strategic partnership to assist SimCorp clients with managing digital asset investments. Alloy’s clients consist of a range of firms including family offices, hedge funds and listed assetmanagers.
UK-based boutique fixed income trading desk BlueBay AssetManagement is beginning a new chapter in its life. The move has opened up swathes of synergy opportunities for the pure fixed income assetmanager, with its traders now working directly alongside RBC BlueBay AssetManagement’s equities desk.
More than 200 assetmanagers, hedge funds and other users of outsourced trading providers voiced their opinions in this first-of-its-kind piece of research. The post Around two-thirds of buy-siders believe outsourced desks could enhance trade performance in cross-border trading appeared first on The TRADE.
Up against other individuals from Invesco, Liontrust AssetManagement, Baillie Gifford and State Street Global Advisors (SSGA), Nutting took home the award after an industry-wide vote. In 2016, Nutting moved to Principia Investment Management Limited where she was an execution trader and fundmanager assistant.
Mutual funds have emerged as one of the most popular and accessible investment choices for retail investors in India. lakh crore, reflecting the growing trust and confidence investors have in mutual funds as a key avenue for financial growth. Fast forward to August 2024, and the AUM has now surged to an impressive Rs 66.70
Sohoni joined Citi 19 years ago and during her tenure has overseen several business areas, including: credit financing, asset-backed securities, clean energy, global infrastructure, residential, Citi Community Capital, municipal, and Citi’s Asset Finance Group. Faenson joined Citi in 2005 as a credit valuation adjustment (CVA) trader.
Specialist multi-assetmanager Candriam and its parent company New York Life Investments have expanded their partnership to grow their remit in the US offshore market. Following the expansion of the partnership, the pair will offer solutions and services to non-US resident investors who invest through US intermediaries.
EU assetmanagers, banks and brokers are urging policy markets not to succumb to pressure that could potentially lead to suboptimal outcomes in the Markets in Financial Instruments Directive (Mifid/r) review.
There’s already a huge section of the assetmanagement community and the asset servicing community, including Northern Trust, that are established in Singapore as large parts of their global operations.” We consider Singapore one of our most significant investment centres, both in Asia and internationally.
In November, The TRADE is set to debut the North American iteration of its glittering awards night in New York, recognising the finest talent and commitment to the trading industry across assetmanagers, hedge funds, banks, brokers, exchanges and vendors.
For some assetmanagers and hedge funds, the seemingly impossible notion of all traders not physically sitting together on a centralised desk and communicating face-to-face was all but wiped away overnight as the hybrid working setup was forcibly tested and passed with flying colours.
In the current state with T+2 you have 48 hours to execute a security trade, match that trade with brokers, execute the FX and get everything settled. Jumping ahead in time, covid-19 was another external factor which put a lot of pressure on assetmanagers in terms of how and where work was being done.
Jonathan Cross, general manager of EMEA at LiquidityBook, said: “Our clients range from start-up hedge funds and large, established assetmanagers to broker-dealers, outsourced trading desks and software vendors.
And what happens if the floodgates truly open with the arrival of the $100 billion funds? The narrative of the service being used solely by smaller hedge funds has been replaced by suggestions that outsourced trading is gathering pace among larger fundmanagers.
Citadel Securities Needing little introduction, Citadel Securities, is one of the largest market makers in US Treasuries and USD interest rate swaps globally, and serves an extensive list of financial institutions, including: banks, assetmanagers, pension funds, hedge funds, central banks, and sovereign wealth fund.
Also announced this week was MarketAxess’ plans to acquire multi-asset algorithmic trading provider, Pragma, for an undisclosed sum at the end of this year, subject to closing conditions. The firm’s clients include assetmanagers, hedge funds, broker dealers, banks and exchanges.
Pragma provides algorithmic trading and analytical services across equities, foreign exchange and fixed income with a client base that spans assetmanagers, hedge funds, broker dealers, banks and exchanges. r8fin brings cutting-edge technology and a business that’s very much in Tradeweb’s wheelhouse.
MarketAxess is set to acquire multi-asset algorithmic trading provider, Pragma, for an undisclosed sum at the end of this year, subject to closing conditions. Its clients include assetmanagers, hedge funds, broker dealers, banks and exchanges.
While fingers of blame are being pointed in each direction, the bottom line is assetmanagers are now facing operational challenges, the notion of pre-funding trades and balancing settlement security with best execution obligations. That cannot be seen to be a positive outcome.”
Something equally as important as versatility is the ability to condense and cherry pick the best information, colour and flows, not just for our fundmanagers, but for ourselves too. Multi-asset traders are lucky enough to receive a wealth of information from endless IBs, emails and calls from counterparties in each asset class.
Elsewhere in his career, Chalkley served as a European government bond, inflation and absolute return fundmanager at BlackRock. Tourmaline Partners hired three new seasoned financial markets executives as managing directors to help strengthen its global trading capabilities.
Global assetmanager Robeco leverages a low touch and high touch trading team that spans across three continents. And, like most assetmanagers across the street, its global equity trading desk plays host to a variety of characters, each bringing their own individual string to the wider team’s bow.
The TRADE is delighted to announce that Europe’s most popular awards event for the trading and execution industry returns on 8 November at The Savoy Hotel in London, recognising the finest trading talent across assetmanagers, hedge funds, banks, brokers, trading venues and technology vendors.
We have seen a stabilisation of money flows in recent months, global funds are returning to the UK, while we continue to see outflows (mostly to US) of domestic assetmanagers. It’s pushing high touch and marginalised brokers into a smaller section of the market. The path of travel is very clear.
BMLL Technologies BMLL provides its clients – banks, brokers, assetmanagers, hedge funds, global exchange groups, academic institutions and regulators immediate and flexible access to Level 3, harmonised, T+1 historical order book data and advanced pre- and post-trade analytics at scale.
I’ve always worked in the assetmanagement industry, starting my first job at 18 with Scottish Amicable Investment Management in Glasgow. From the banking team at Scot AssetManagement, I moved firms in 1999 to take up a role in trade settlements. What has your journey to the trading desk been like?
Joining the industry after graduating from business school at the age of 20, Papanichola has an impressive track record that spans across five hedge funds and two banks. Papanichola began his career at interdealer broker, GFI, however quickly realised the environment wasn’t the one for him.
Transitioning to T+1 is a team effort involving thousands of market participants, including clearing houses, depositories, custodian banks, broker-dealers, investment advisors, self-regulatory organisations, stock exchanges, service providers, industry groups, trade associations, and regulators. Gensler said.
Speaking to The TRADE, Dean Gray, head of EMEA outsourced trading at Jefferies, explains: “It has been well documented that the past few years have seen a significant shift in the mindset, especially of the larger funds, towards the adoption of outsourced trading. were in $50-100 billion and another 2.5% in the $100 billion-plus range.
In recent years, exchange-traded funds (ETFs) have undergone significant evolution, shifting from simple passive investment instruments to more versatile tools that help reinforce a range of strategies. What’s particularly notable is the willingness of big assetmanagers to launch their latest active strategies in an ETF wrapper.
Werner Eppacher has spent the entirety of his two-decade financial career with German assetmanager DWS Group, catching his first glimpse of a trading floor as an intern for Deutsche Bank in 2003. “A We share the burden of finding budgets and funding things going forward.” That’s the only way to withstand this pressure.
At a headline level, a shift to T+1 doesn’t immediately sound the alarm bells for FX markets, given a large portion of funding FX is already traded this way. However, when you delve into some of the timeline changes involved, there are some important considerations to be made from a market dynamics and liquidity perspective.
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