Program trading, i.e. the execution of a portfolio of an array of different securities during a certain time period, has been steadily growing in importance. The new functionality opens up the possibility for clients to more effectively execute trades directly via DMA and complements the program trading services offered over NeoNet's trading desk. The electronic program trading can be combined and integrated with program trading services over NeoNet's trading desk in line with client preferences.
NeoNet's enhanced program trading functionality now includes the following:
- Pre- and post-trade analytics: Identifies an effective execution strategy and tracks trading performance. This makes it possible to identify the critical securities from a market impact perspective in advance and subsequently measure the trading performance against a reference, e.g. time defined VWAP (Volume Weighted Average Price).
- Slicing and wave functionality: Orders can be sliced in smaller pieces and distributed to the market in waves of simultaneous orders to trade in line with market activity.
- Flexible importing and staging functionality: Makes it easy to upload the program to the NeoNet Trader front-end e.g. from a spreadsheet or the client's order management system.
- Comprehensive overview of the program: For each program, there is a top-line overview with the current overall performance and profit/loss of the program. In addition, there is a section with all the details of the execution status of the individual securities with real-time market data.
"We have added the enhanced functionality in response to the growing demand for electronic program trading capabilities among our professional investor clients," said Patrik Westerberg, CIO of NeoNet. "This gives clients the opportunity to effectively execute program trades in-house with total control and transparency."
As an international agency broker, NeoNet's focus is on providing professional investors with electronic DMA complemented by value adding execution services via NeoNet's sales traders. NeoNet offers clients integrated and transparent trading access on the following 16 leading exchanges: American Stock Exchange, Amsterdam, Brussels, Copenhagen, Frankfurt, Helsinki, Lisbon, London, Madrid, Milan, Nasdaq, NYSE, Oslo, Paris, Stockholm and Virt-x.