Fixed Income Desks Spending More on Technology. Surprised? Me neither.
We spoke to just under 500 portfolio managers and traders globally to see what they’re doing with and what they think about OMSs, trading-system EMSs and TCA platforms for Equities, FX and Fixed Income. This is not a space of dramatic year on year change given the maturity of the providers and their products. However the trends found in trading system usage speak volumes to how investors are viewing and dealing with market structure changes.
Not surprisingly a big chunk of the change and spend is in fixed income. Not only are derivatives markets changing due to new regulations, but cash rates and credit markets are also going through a period of major change driven by a host of factors from Basel III to changing sell side business models. The full report both talks through these trends and provides the underlying data we collected from those 500ish interviews about who’s using who, what they like, what they don’t like and why they might look to make a change. You’ll see a little taste of that in the press release below. Ivy at Wall Street & Technology also did a good write up.
On another note, I’ve been a little delinquent about blog posts lately. Shockingly enough the google ads on this site don’t exactly pay the bills (or for a Venti Latte for that matter), so I’ve needed to spend my time on writing research and other things that people actually pay for. You understand right? And one closing thought: SEF mandates are finally almost here. I hope we get the no-action we need on the issues still threatening to delay things so the band-aid is finally ripped off. More details on that soon…
