Algorithmic technology provider Horizon Software has rolled out a new ‘implementation shortfall’ algo, which it says will enable FX algo users to more precisely time their trades and benefit from market price variations when they are looking to trade in line with the market. Horizon claims this will help algo users to potentially achieve better execution than if they executed through a market VWAP.
According to Vincent Dumontoy, Global Head of Client Solutions and Services at Horizon, this is in keeping with the on-going interest in customisation as clients globally seek to build up their own algo trading strategies to differentiate from competitors.
“Clients are looking for easy implementations but, at the same time, they want strong safety features with increased levels of control to minimise operational risks,” he says. “That’s why we believe we’re uniquely positioned, as our algo framework provides those advanced out of the box algo functionalities, such as market making, hedging and native risk controls, with the ability to embed proprietary strategies.”
The implementation shortfall algo is incorporated into Horizon’s execution algo trading suite, which also offers TWAP, VWAP and POV algorithms and the firm has also recently made enhancements to these strategies as well.