Transaction cost analysis (TCA) technology tops the list of current buy-side technology investment priorities, according to a recent report. The FX Industry Benchmarking Survey 2015 was carried out in July this year by WBR, among senior FX professionals drawn from heads of FX trading, CEOs and senior management from leading asset managers and hedge funds. 63% of respondents said that they would be investing in TCA technology over the next 12 months and 35% in algorithms. Furthermore 43 per cent of those surveyed strongly agreed that TCA technology was the most important in improving execution performance in FX. A further 30% agreed, if not strongly, that this was the case. As evidence of the confidence that buy-side decision makers now have in TCA, half of all those polled strongly agreed that current TCA methodology is now sufficiently sophisticated to enable them to draw “sensible conclusions” about their FX trading process.
