BestEx Research has announced the appointment of Beatrice Derian as Chief Financial Officer.
The provider of high-performance algorithmic execution and measurement solutions for equities, futures, and foreign exchange trading,
Derian brings a wealth of experience to BestEx Research and is set to play a crucial role in driving the company’s growth and financial strategy.
Beatrice Derian joins BestEx Research with over 13 years of experience in financial services accounting and regulatory reporting, particularly in the broker-dealer sector. Throughout her career, Beatrice has led strategic initiatives, M&A activities, FP&A, financial operations, and process improvements while maintaining strong internal controls.
At Quantitative Brokers, Beatrice was instrumental in capital raises and establishing foreign subsidiaries in the UK, India, and Australia. She also improved local and offshore accounting and reporting processes, ensuring efficient, accurate, and compliant operations while keeping the Board and investors informed.
Derian will report to CEO Hitesh Mittal and will be based at BestEx Research’s headquarters in Stamford, Connecticut.
Hitesh Mittal, Founder and CEO of BestEx Research, commented: “Beatrice’s experience in growing businesses and supporting their expansion further strengthens our foundation as we prepare to launch execution algorithms for new regions and asset classes as well as additional products. Her deep technical expertise and commitment to robust financial controls and transparency uniquely position her for this role.”
Beatrice Derian, Chief Financial Officer at BestEx Research, stated: “I am delighted to join this collaborative, forward-thinking team and look forward to participating in its next high-growth chapter. I am eager to draw from my background and experiences to amplify the opportunities ahead for BestEx Research and support the team’s objectives by driving our financial success.”
In April, BestEx Research appointed Tony Huck as Global Head of Business Development, tasked with broadening the reach of the firm’s execution algorithms for equities and futures and spearheading the launch of new asset classes and regions later this year.
Tony Huck has 35 years of experience in portfolio, electronic, and algorithmic trading across various asset classes, including a 14-year tenure at ITG where he launched a top-ranked portfolio trading platform and managed all non-US subsidiaries in Europe, Asia, Australia, and Canada, coordinating all global product lines and brands. He also held leadership roles at the Royal Bank of Scotland, Citadel, and was most recently CEO of Score Priority (now Lime Trading).
BestEx Research also appointed Sandra Delmore as the new Managing Director of Client Success, focusing on enhancing customer experience through various initiatives, including onboarding, engagement, and issue resolution. Delmore’s previous roles include serving as Global Head of Commission Management Services at Liquidnet, where she led domestic and global expansion strategies, and Vice President of Operations and Client Service at BNY ConvergEx.
BestEx valued at $110 million
BestEx Research aims to differentiate itself with a tailored and transparent execution platform that addresses the unique needs of both buy-side and sell-side clients. The firm’s Algorithm Management System (AMS) offers multi-asset execution algorithms, a no-code strategy customization and automation tool, simulation and A/B testing capabilities, an order management dashboard, and transaction cost analytics (TCA).
Last year, BestEx Research raised $10 million in follow-on investment from its existing investors. The new funding, which valued the firm at $110 million, will be used to accelerate its growth and expand the global team as it prepares to roll out a differentiated suite of algorithms for FX and enhancements to existing tools for equities and futures.
BestEx Research helps both buy-side and sell-side firms reduce transaction costs and increase transparency around execution:
- Buy-side firms can access BestEx Research algorithms via most execution management systems (EMS) and order management systems (OMS) with no disruption to their workflow.
- Sell-side firms can use BestEx Research’s holistic Algorithm Management System (AMS) to build completely custom execution solutions with no coding required, support their clients via web-based dashboard, backtest custom strategies with its realistic exchange simulator, and measure performance with sophisticated transaction cost analysis (TCA).
BestEx launched IS Zero for low-urgency orders
Earlier this year, BestEx Research launched IS Zero, an algorithm designed to revolutionize the approach to minimizing implementation shortfall (IS) in trading. IS Zero marks an evolution from the traditional volume-weighted average price (VWAP) algorithm, a mainstay in handling low-urgency orders.
Implementation shortfall (IS) in trading refers to the difference between the decision price and the final execution price of a trade, including all associated costs and delays. It’s a measure used to evaluate the efficiency and effectiveness of trade execution. Here’s a breakdown:
Decision Price: This is the price of the asset at the time when the decision to trade was made. It’s the benchmark against which the success of the trade execution is measured.
Execution Price: This is the actual price at which the trade is executed. It can vary from the decision price due to market movements and other factors.
Components of IS:
Explicit Costs: These include brokerage fees, taxes, and other direct costs.
Market Impact Costs: The effect of the trade on the market price. For large orders, buying can drive the price up, and selling can drive it down, leading to less favorable execution prices.
Delay Costs: The cost associated with the time lag between the decision to trade and the actual execution. Prices can change during this period.
Opportunity Cost: The cost incurred if the trade is not executed promptly or fully, resulting in missing potential profits.
Understanding and minimizing IS is crucial for traders, particularly institutional investors, as it directly impacts the returns of their trading strategies. High IS indicates inefficiency in trading, leading to higher costs and lower returns. Traders use various strategies and tools, like algorithmic trading solutions, to minimize IS. These solutions can help in executing large orders more efficiently, reducing market impact and delay costs.
