Pohjola and ITG Launch New Smart Order-Routing and Algo Service

Pohjola Asset Management (PAM) and Investment Technology Group (ITG) have announced the launch of a new smart order-routing and algorithmic trading service.
The new platform, which will be made available to third-party institutional traders, required the construction of a new datacenter in Stockholm. It focuses on ultra-low latency and execution speeds, and involved technical expertise and research from both companies.
"The origin of this offering was our desire to reduce slippage costs when trading equities for our funds. We thought that it must be possible to create better smart routers and algorithms for buy-side traders, so we made a decision to build our own buy-side-controlled smart order-router together with ITG," says Simo Puhakka, head of trading at PAM. "Our smart order-router has given us significantly better performance on implementation shortfall costs compared to the ones we have used before. It quickly became apparent that there is demand for this performance level from other institutional traders, so we decided to set up a separate entity, Pohjola Asset Management Execution Services (Pames), to market and further develop the platform. The buy-side smart order-router is now offered to institutional traders and asset managers by Pames, which is 100 percent owned by PAM. The first third-party client has gone live."
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
More on Emerging Technologies
Waters Wrap: ICE, Nasdaq and differing views about cloud
As exchanges continue to embrace cloud, the decisions they make today will have long-lasting implications.
S&P tests ‘ChatIQ’ genAI search tool in revamped CapIQ desktop
The new tool is the culmination of integrating recent acquisitions, including IHS Markit, ChartIQ and Kensho.
This Week: EuroCTP, CME/DTCC, State Street, Broadridge and more
A summary of the latest financial technology news.
Waters Wavelength Podcast: How do firms create data products?
Standard Chartered’s David Sharratt joins the podcast to discuss creating data products.
Snowflake partners with BMLL in another big tech-fintech tie up
The collaboration comes as part of both companies’ desire to eliminate end users’ need for intensive data engineering, as well as costly in-house data storage.
This Week: Nasdaq, ICE, FIA Tech, SimCorp and more
A summary of the latest financial technology news.
Behavioral analytics: the data trend that has asset managers looking inward
Vanguard and others are building tools that “nudge” investors to make better investment decisions.
Waters Wavelength Podcast: David Hardoon dissects language models
David Hardoon returns to talk about the field of language and how it’s the ‘heart and soul’ of artificial intelligence.