Regulations—and the subsequent need to pursue Best Execution—have resulted in a growing interest and investment in electronic trading, transaction cost analysis, and trading technology across Europe. To many, the implementation of Markets in Financial Instruments Directive (MiFID), with its focus on enhancing investor protection, increasing competition, and creating a more homogenous market structure, has dramatically changed the European trading landscape.

Focus on electronic trading and alternative venues

As investment managers, you are now required to look to multiple liquidity sources to pursue Best Execution. The growth of MTFs, crossing networks, and dark pools are proof that stock exchanges alone are not enough.

Another important trend is the demand for marketplace transparency, creating the need for transaction cost analysis tools. This is driven by both regulators and portfolio managers who wish to control their costs more strictly and optimize fund performance.

Advanced technology underpins change

Accessibility and connectivity are integral elements of the investment process and smart technology has enabled market participants to access, and benefit from, multiple venues.

While the changes have been significant, you and your clients are likely to gain from greater competition, more trading venues, advanced functionality, and more efficient products and services.

How ITG can help

With expertise and knowledge of the European trading environment, ITG can work with you to ensure that your specific trading objectives are understood and requirements are met. We anticipate your needs with continued product innovation and guide you through changes in the market. Examples of our innovative solutions include: POSIT^® trade crossing, market-specific ITG Algorithms^®, the ITG Logic^® pre-trade cost estimator, and Triton^®’s one-stop global execution management capabilities, which are all designed to help you adopt MiFID-compliant processes. Plus, ITG Post-Trade Analytics, including ITG TCA^® and ITG Alpha Capture™, can help you quantify transaction costs and adjust strategies as necessary.

European equity market times

The following capabilities are currently available in this region: