Recent changes in the marketplace and increased regulation have changed the demands of the buyside traders, as they seek the most cost effective way to have direct market access, best execution, and capture more liquidity.
In the Summer 2014 issue of Best Execution, Lee Sanders, the Head of Execution for FX & MM and UK & Asia Fixed Income Trading at AXA Investment Managers, discusses why AXA has moved to TradingScreen for Foreign Exchange.
“There are around 33 fixed income trading initiatives in the market and one of the big questions that the buyside will ask is which one do you pick? To me these platforms fragment liquidity and we want to have an aggregated view under one umbrella. It is like Sky TV where you want to have access to every channel in one place. We will consider an execution management system (EMS) such as TradingScreen because it could provide a breakdown of the market, this snapshot will mean that we only have to go into one system to be able to take prices from any of the 15 or so banks that we deal with. Aggregation makes for punchier prices and more liquidity if it has support from all.
We had developed our own proprietary systems and sets of historical data but one of the main reasons for switching to an EMS will be to further improve our TCA. We have worked with TradingScreen to develop a credible data set that we can distribute internally and also use externally and we would see this as a positive in fixed income as it has been in FX.”
Click here to read the entire interview.