Cornering the Elephant in the Algo Room
Mathijs Peeters spoke with The Full FX about an improved way for algos to execute larger amounts on Siege MidPool without signalling or market impact.
Short excerpt -
"The challenge for the industry is providing the right model that offers sufficient liquidity to attract the algos – especially those executing larger parent orders – whilst making it a fair and “safe” environment in which to operate for all parties.
Solving this problem, in the words of Mathijs Peeters, head of distribution for Europe at Siege FX, “allows the market to corner the elephant in the algo room”.
The solution, as far as Peeters is concerned, involves providing a way to work part of the inactive balance of the algo amount in a safe environment without signalling or market impact. “This can now be done through our partner banks’ resting algos which have been tweaked such that they can float a large amount in the Siege MidPool whilst they execute the rest as per usual (in small clips) into the lit market,” he explains...."
The whole article is free to read at https://thefullfx.com/cornerin...
Share
