The world’s leading provider of electronic trading solutions and algorithmic technology has made available a new execution algorithm which improves automated trading to its already market-leading solution. The ability to automatically execute during the opening and closing auctions to benefit from the most pricing opportunities is a new feature.
Horizon automates sophisticated trading strategies for the execution of large orders with the TWAP (Time-weighted average price), VWAP (Volume weighted average price) and POV (Percentage of Volume) algorithms, which have been improved with the ability to automatically execute not only during the intra-day trading period but also during the opening and closing auctions to benefit from the most pricing opportunities.
In addition to these enhancements, Horizon released a new algo to manage the implementation shortfall strategy, which aims at setting up two levels of spots and three levels of the participation rate. The implementation of the new algo enables to adapt the participation rate to the spot evolution. This new algo is even stronger with the choice to either define fixed levels of trading spots or follow the VWAP plus or minus a percentage along with the execution. The strategy will increase the targeted participation rate when the stock price moves favourably and decrease it when the stock price moves adversely.
Vincent Dumontoy, Global Head of Client Solutions and Services at Horizon commented: “We are delighted to offer these improved highly sophisticated algorithms and to see the array of benefits they will bring to our client base. Apart from profit opportunities for the trader, algo-trading renders markets more liquid and trading more systematic. This new release of algorithms has been enriched so our clients can trade at the best possible prices with significant reduced human mistakes. Clients are using our execution algorithms, so trades are timed correctly and instantly to benefit from significant price changes. Our software offers a single platform to embed custom
algorithmic strategies and we believe Horizon is uniquely positioned on the automated trading market by offering a very flexible algo-framework that allows the traders to “trade their way” or benefit from an advanced set of execution algorithms based on our strong expertise in algo-trading.”
Last year, Horizon started supporting the cryptocurrency market by offering the option of trading Bitcoin as well as other cryptocurrencies, such as Ether, Ripple and Litecoin through the company’s platform. The Horizon platform allows clients to make the best use of the algorithmic framework and automation capacities.