Peter Ward, Head of International Business Development -
RealTick , the global multi-broker, cross-asset electronic trading platform has further expanded the electronic execution products clients can access through RealTick EMS to include the UBS Fusion web-based platform of transaction cost analysis tools, including their new Real-Time TCA offering. This enables clients to seamlessly manage single stocks and portfolios between the RealTick EMS and UBS Fusion, creating a combination of analytics and execution capabilities.
"We are pleased to have expanded our long standing relationship with UBS by integrating a leading TCA product, Fusion, into RealTick. Our clients will be able to benefit from easy access to high quality single stock and portfolio trading cost analytics, both historical and real-time, adding substantial value to their trading decisions and execution," comments Peter Ward, Head of International Business Development for Townsend Analytics.
As liquidity has continued to fragment across an increasing number of trading venues, determining exactly where to execute at any given moment has become a key performance driver. Today's traders face a mish-mash of differing and shifting liquidity rarely with discernable intraday patterns across a multitude of dark, lit and opaque venues at different times of the day, and all with different pricing models. As a result, analysing transaction costs after the event is no longer enough for many firms - see "Give us an A" from the Q2-2009 issue of Automated Trader.
Rather, by integrating TCA capabilities within the decision-making process, traders can adjust their trading strategies dynamically with the market, as Peter Ward explains, "TCA is currently more important to some traders than others, but as awareness of the opportunities to analyse transaction costs dynamically grows, interest is increasing across the entire spectrum of market participants.
"Our ongoing focus is to ensure our clients have direct and easy access to their key trading partners and their value added trading tools and liquidity wherever it may reside globally. The addition of a broader range of UBS products enables clients to access a major global broker with established expertise across electronic execution and TCA tools."
UBS launched Fusion in the United States last year and followed with a European launch in March 2009 to offer clients live, continuous analysis of their orders while they are still executing.
Rustam Lam, Director of Townsend Analytics outlines the background to the integration of UBS Fusion with the RealTick platform, "We have seen a strong desire amongst the broking community to make their latest execution services available to institutional clients through an efficient trading desktop, providing easy access to their algos, dark pools and smart order routing capabilities. The next obvious step was to provide actionable TCA; that is, the ability for a trader to monitor and adjust their execution parameters for a single stock or list, to help optimise strategy."
Tim Wildenberg, Head of UBS Direct Execution for EMEA, continues, "The seamless integration of transaction cost analysis and trading execution is very powerful for today's electronic traders. Integrating UBS Fusion into RealTick's EMS raises the bar even higher - Fusion makes real-time execution information available while clients' orders are live, allowing them to easily and efficiently manage, monitor and quickly adjust active orders. When delivered via the RealTick EMS alongside our existing equity and equity options algorithmic trading and DMA services, the result is a set of tools that deliver tremendous opportunities to enhance performance."
This announcement is unlikely to be last of its kind, and integrated platforms incorporating both execution and analysis capabilities have the potential to provide traders with "best-of-breed" capabilities while still benefiting from single channel access. As traders seek to shine a torch around dark pools in particular, integrating real-time TCA as part of the decision process can help to accelerate decisions and increase trading performance.