Buy-side e-trading to cool down

NEW YORK – Buy-side firms expect to utilise low-touch, self-directed electronic trading less and less over the next few years in favour of algorithms and crossing networks to better access liquidity, even as the industry's percentage of shares traded electronically is expected to grow.

A new report by financial IT consultancy Tabb Group, Institutional equity trading in America 2006: The return on relationship, finds that direct interaction between buy-side traders and electronic communication