Alternative trading systems radically change the industry


Alternative trading systems radically change the industry

Karl Flinders

The increased number of stock trading platforms available today is changing the equities trading industry drastically, according to Gartner.

Traders must focus on new criteria when selecting trading venues and must develop new skills to make these decisions said the analyst. The arrival of what are known as Alternative Trading Systems (ATSs) means that traders must understand the systems and the technology required to access them.

"The use of ATSs, particularly for equities trading, is spreading. Market, technology and regulatory trends are all leading to a situation where selection of trading venues for each trade becomes a dynamic choice. Making those choices effectively requires some particular technologies, but most importantly, a clear understanding of the benefits and costs of different alternatives must exist," said David Schehr, research director for Gartner's financial services research team.

This is relevant in the UK where the Markets in Financial Instruments Directive has instigated the development of new trading venues such as Turquoise.

Email Alerts

Register now to receive IT-related news, guides and more, delivered to your inbox.
By submitting your personal information, you agree to receive emails regarding relevant products and special offers from TechTarget and its partners. You also agree that your personal information may be transferred and processed in the United States, and that you have read and agree to the Terms of Use and the Privacy Policy.

COMMENTS powered by Disqus  //  Commenting policy