Beyond the Data: Large hedge funds increasingly choosing to spread execution across multiple algo providers
NeutralArtificial Intelligence
- Large hedge funds are increasingly opting to distribute their execution across multiple algorithmic trading providers, as highlighted in a recent survey by The TRADE. This trend reflects a strategic shift in how these funds manage their trading operations, aiming for improved execution quality and efficiency.
- The decision to diversify execution sources is significant for hedge funds as it allows them to leverage the strengths of various algorithmic providers, potentially enhancing their trading performance and reducing reliance on a single provider, which can mitigate risks associated with market volatility.
- This development aligns with broader trends in the financial sector, where firms are exploring innovative trading strategies and technologies, such as the introduction of new trading features like iceberg orders and the potential for increased overnight trading volumes, indicating a shift towards more flexible and efficient trading practices.
— via World Pulse Now AI Editorial System
