Optimising Workflows

• Whatsapp recording solution is a game changer
• Use a chat bot for research distribution
• We should make more use of centralised business information & communication channels to speed up conversations internally and externally
• Alerts on trading into Symphony + TCA records + EMS Connection
• Standardized formats across platforms (use tags etc)
• Interest in flextrade EMS/OMS
• Can access non front office workflows across firms
• Inter company communications needs to be worked on as we return to the office.
• Consolidation of bots/messaging solution to IB availabilities across middle/back office
• Increasing need to disrupt RFQs workflow
• Consolidating quotes/chats/alerts/signals is a holy grail!
• App to consolidate communication + built automation on top
• Set up real time market data alerts for wheel flow
• There is a lack of resources to build workflows on the buy side. Symphony solution can help with this.
• There is the ability to use the system for more than chats – e.g. holdings, reports and new issuance
• Can make use of internal teams’ coding ability and build own tools and workflow solutions
• Some trading desks are retiring their dealerboards – does this mean no more phone calls?
• Younger traders are more willing to code/take on projects
• Optimising newsflow through automated processes is a possibility that can enhance PMS experience but needs the correct filtering

Market Microstructure

• Additional UI needed to level the conditional playing field
• Useful cost insight into trading the close. Good to see similar views on overall use of TCA in volatile markets
• TCA can be a helpful tool but it is also important to take liquidity when you can not when you need to
• There is a lack of understanding of the real cost of trading in a closing auction
• It costs 0.4bps to trade with LSE in the close vs. 0.8bps in Europe. Needs reviewing.
• Volatility can lead to disincentives for block trades, but although this may be true from a TCA perspective, the focus should be on the trader being able to explain decisions as he made them.
• TAL volumes are low
• LSE closing auction is good value
• Shoren TAL to encourage move interaction
• More conversations with traders needed about their mechanics
• Need to push brokers on TAL adoption
• Want the ability to interact with £100m and blocks if/when a previous block happened

Venue Selection

• The European market is 10x less liquid than in the US. Some questions to ask brokers by buy side firms should be communicated by CBOE.
• Consolidated tape will add to market resilience
• Broker customisation is different for each desk
• Some firms customise on venue selection and some leave it to the brokers.
• Better algo questions needed by the buy side to assess brokers
• Should be more proactive in discussing how self directed algos interact with periodics
• More transparency from brokers about how they participate in venues is needed
• Venues / exchanges can help buy side firms hold brokers to account and to ask the right questions
• General view that there has never been such a large difference in algo performance across providers
• Smaller providers are more flexible and offer better overall service
• Broker customisation of algos is important. The turnaround time for implementation of change is still too big. Once a need for change is identified, it should be quicker to implement.
• Highlighted the need to review how quickly brokers adapt to new venue functionality & order types
• More communication and knowledge on order types needed so buy side can question the brokers
• Brokerlogic may not be listening to the venue data leading to missing liquidity
• More information on order types empowers the buy side to ask more + better questions
• Not having a consolidated tape is part of the reason for no IPOs in EU
• Look to spend time analysis fill/venue data on past trade basis

Data Analysis

• It’s very useful to benchmark against peers
• Strong focus on execution – short term vs overlay / long term exposure management
• The feedback loop from data analysis direct into EMS is the next challenge to overcome
• PA profiling should be taken into consideration
• Data is clearly central to the investment + execution process and is a key requirement to achieving the marginal gains we strive for in performance
• How can you measure the decision process of the fund manager?
• Still need better and more informative pre-trade data
• Analysing slippage/ trade performance from PM decision to trade as opposed to order pick up.
• PM decision time to order generation. How can we measure time & cost?
• Greatest impact on the TCA is looking at the unrealised point of the trade

• Click reduction = increased efficiency
• Moving desktop to become far more connected, using apps together vs.individual at present. Speed and efficiency tangible to help justify internally.
• Not just for trading – it’s relevant inter-team
• Possibility of moving from ‘jack of all trades’ systems to specialist ones.
• Interoperability is being able to unify data/processes across platforms.
• There is a clear need for systems to speak to each other
• Business should drive desire to ensure interoperability for workflow and systems – don’t just leave to IT.
• FDC3 – is the new standard of systems talking to one another
• System interoperability – the key is different systems must integrate well together
• There are actually ways to get systems to talk to one anotherGive the user the capacity to bias workflow
• Interoperability improves efficiencies
• It’s a basic concept but effective
• The buy side needs to understand what we want to improve and work on one thing at a time
• Technology has advanced – what seemed like a pipedream may be possible now. It is time to revisit previous plans

Desktop Interoperability

• Click reduction = increased efficiency
• Moving desktop to become far more connected, using apps together vs.individual at present. Speed and efficiency tangible to help justify internally.
• Not just for trading – it’s relevant inter-team
• Possibility of moving from ‘jack of all trades’ systems to specialist ones.
• Interoperability is being able to unify data/processes across platforms.
• There is a clear need for systems to speak to each other
• Business should drive desire to ensure interoperability for workflow and systems – don’t just leave to IT.
• FDC3 – is the new standard of systems talking to one another
• System interoperability – the key is different systems must integrate well together
• There are actually ways to get systems to talk to one anotherGive the user the capacity to bias workflow
• Interoperability improves efficiencies
• It’s a basic concept but effective
• The buy side needs to understand what we want to improve and work on one thing at a time
• Technology has advanced – what seemed like a pipedream may be possible now. It is time to revisit previous plans