o A smart order router: MiFID will have a substantial impact on trading in Europe. The removal of the concentration rules, together with the duty of âbest executionâ and market transparency, paves the way for increased competition between execution venues with the introduction of MTFs and systematic internalisers. The Dexia-AEMS solution will provide brokers with dynamic, smart order routing. In an anticipated world of fragmented liquidity, smart order routing will ensure that clients obtain the best possible result for every trade, based on specific criteria including, price, cost and liquidity.
o An analysis and reporting tool: The new regulatory environment increases the scope of information expected by clients. The Dexia-AEMS platform will provide web-enabled detailed and relevant reports analysing and assessing on-going and historic trading performance. It will include performance indicators, comparing achievements with agreed service levels.
MiFID and its impact on liquidity fragmentation provide additional challenges and complexity for the broking community.
"We are delighted that we will be able to provide 'best execution' to our clients in a transparent and independent manner. Our solution will assist us to find the best possible results for our clients, freeing them from the burden of dealing with the fragmentation complexity. We will be able to provide them with the best, most relevant information from which to assess our performanceâ summarises Didier Chaudesaygues, CEO of Dexia Securities France.
âMiFID is a challenging mix of increased complexity of execution services and of clientsâ protection. To solve this paradox, we need to implement new tools. We have selected AEMS to work with us to develop them, given their strong technical innovation expertise, which is widely recognised by capital markets firmsâ adds Sophie Langlois, Deputy CEO, Dexia Securities France.
Dominique Durand, Head of the Capital Markets Division at AEMS explains âBrokers are under great scrutiny to ensure that they are acting in the best interests of their clients for whom transparency and reporting are key. Thanks to our partnership with Dexia Securities, which brings extensive brokerage and trading expertise, we will further expand our offering, which currently covers exchanges, banks, asset management firms and brokers, to meet their MiFID requirementsâ.