The TRADE 56 - Page 82

[ A L G O R I T H M I C T R A D I N G S U R V E Y ] Bloomberg B algos from other providers, while all but one respon- loomberg will have every reason to be disappoint- dent use the firm as its EMS provider as well. ed with its results in the hedge fund portion of Hedge fund respondents were extremely critical this year’s algo survey. The data specialist received the of Bloomberg algos in this year’s survey, ranking the lowest percentage of responses of all providers pro- firm bottom of the profiled providers in 11 of the 12 filed, although this was consistent with its percentage categories reviewed. While there were decreases in in last year’s survey, as well as the lowest scores in all scoring for many providers this year, Bloomberg saw but one of the categories reviewed. their scores drop below 4 in all but two categories. Two-thirds of respondents were from the $1-10 bil- Respondents scored Bloomberg under 3 for crossing lion in assets under management range, with one from (2.61), customer support (2.57), execution consulting the larger end of the range with $10-50 billion in AuM. (2.75) and dark pool access (2.61), while its score for All of Bloomberg’s hedge fund respondents said usage price improvement fell by 3.3 points year-on-year to of algos had either stayed consistent or increased year- Bloomberg 2.07 in this year’s survey. The firm’s highest score was on-year, some as much as 25%. Despite the low scores Improve 4.56, for both its improving trader performance and handed to Bloomberg this year, only one-third of Reduce Execution hedge fund respondents Year said they are looking trader to adopt cost categories. Cost Speed 2018 2017 RATINGS FOR ALGORITHM PERFORMANCE productivity 4.56 market impact consistency 3.15 5.89 3.10 5.89 4.56 5.63 6.27 4.56 Improve trader productivity Reduce market impact 3.15 Execution consistency 3.10 5.63 6.27 3.15 5.77 3.69 6.11 2.07 Price improvement 5.38 3.15 Customisation 5.57 3.69 Ease of use 5.92 2.61 Crossing 4.99 2.57 Customer support 5.65 2.75 Execution consulting 5.75 2.61 Dark pool access 5.46 3.15 Smart order routing capabilities 0.00 82 // TheTrade // Summer 2018 1.0 0 2.00 2017 5.89 Cost Anonymity 2018 5.89 4.56 Speed 3.15 3.00 4.89 4.0 0 5.00 6.0 0 7.00 5.77