Fox River algos target US-Canadian dual listings
Financial technology company SunGard has extended its Fox
River suite of algorithms to cover the Canadian equities market as well as the
US, enabling institutional investors in the two countries to profit more easily
from inter-listed equities and access a larger pool of liquidity.
Fox River is SunGard’s algorithmic development team. Instead
of focusing on benchmarks, Fox River’s trader logic technology is designed to
seek and secure the best possible price under current market conditions. The
team promises to help asset managers reduce information leakage, improve trade
fill rates and achieve best execution.
“There are hundreds of Canadian firms that are dual-listed
on Canadian and US exchanges,” said Bob Santella, chief operating officer for
SunGard’s Fox River and Valdi trading solutions in the US. “Fox River’s
automated, cross-border trading tools help customers capitalise on those
lucrative opportunities and access all possible liquidity pools, including
traditional exchange and alternative trading systems.”
In February last year, UBS launched
algorithmic trading for clients dealing in equities dual-listed on Canadian and
US exchanges. The UBS solution provided seven algos for Canadian users and 12
for US clients. Meanwhile, agency broker
Instinet operates a US-Canadian inter-listed smart order router, which simultaneously
works an order for dual-listed stocks on both Canadian and US trading venues to
find the optimal execution price and facilitate single currency settlement.