The power or predictive analytics and machine learning

How powerful would it be to have the foresight to anticipate your customers’ individual needs or to recognize patterns that affect a whole market in real-time? This is what predictive analytics and machine learning promise to deliver. Much of this capability already exists and is being used to considerable effect, especially by technology giants such as Google and Facebook.

Diane Castelino PH.D, Data Science and Research Lead At Mosaic Smart Data takes a look at how this technology can be applied to the financial services industry. Read the full article

London FinTech comes of age

The great and good of global finance and technology descended on the City of London Business School this week for a thought leadership discussion on the growing influence of new technology on the financial ecosystem. The discussion and content was excellent.

The FT’s chief economics commentator, Martin Wolf, chairing one of the panels provides an insightful summary of proceedings in his comment piece here

Chatsworth client,  R3 took a lead role in the panel debate, with observations on blockchain and its likely application to finance. The R3 team is leading the field in developing blockchain technology with its consortium of over 40 banks took a lead role in the panel debate.

We have worked in this field for over a decade, through the advent of electronic broking systems on traders’ desktops, evolving into more automation through API-based trading, first in equity markets and then into other asset classes such as FX.

This is now entering a whole new game, where incumbent systems and institutions are being challenged, and as a result need to adjust their models, technology and value proposition accordingly.

Our instinct is that the technology is the delivery mechanism but not the answer in itself.

Established systems, venues and institutions have the legal frameworks, proven capabilities, customer usage/coverage and liquidity in place – this is where their real value lies.

New technology is more likely to complement and integrate rather than entirely reorder the plumbing of global financial markets from top to bottom. That is why the meeting of the minds have to take place between financial markets practitioners and technologists.

Finance is a market of natural interest which rewards innovation  – it  will naturally size up and absorb the best emergent tech.

Interdealer Brokers: Creating Market Structure Solutions from Within

The recent scrutiny of the FX market has placed further demands on global regulators as market participants become increasingly frustrated with the lack of regulatory harmony when it comes to the global financial industry.

Dan Marcus, CEO of ParFX and Trad-X, and Global Head of Strategy and Business Development at Tradition writes in Tabb Forum about how industry-led initiatives are helping to solve some of the key issues affecting the industry on a global scale without having to rely solely on regulation. Read the article here.

Tradition named as Equity Derivatives Interdealer Broker of the Year

Tradition, one of the world’s leading interdealer brokers, was named Equity Derivatives Interdealer Broker of the Year at the GlobalCapital Global Derivatives Awards. The award winners were announced at a gala reception and dinner in London.

 

The accolade recognises Tradition’s market-leading position, its global product coverage and its ability to provide outstanding service to its clients in the equity derivatives markets.

 

The Global Derivatives Awards from GlobalCapital, a leading news service of Euromoney Institutional Investor Group showcase the achievements of participants active in the OTC, cleared and listed derivatives markets. The awards honour the people, companies and deals that made an impact on the global derivatives market during the last year. Winners in each category were chosen by GlobalCapital’s editorial board, based on a number of criteria including innovation, market impact, performance, client feedback and uniqueness of approach.

 

Steve Vjestica, Head of Equities at Tradition, comments: “Tradition has been a major player in the equity derivatives market for over twenty years, and this award is testament to the superior level of service, expertise and market knowledge our brokers offer our global client base on a daily basis. We are delighted to have received this recognition from GlobalCapital, and are committed to evolving our innovative equity derivatives offering in line with the changing needs of our clients and the market.”