ITG expands TCA into fixed income market


By Flora McFarlane.

Agency broker ITG has announced that it is expanding its transaction cost analysis (TCA) platform into the fixed income market. Covering around 20% of all equity transactional trades, ITG has the world’s largest equity peer-transaction database.

The new offering is designed to meet best execution and regulation compliance, as well as improving fund performance through providing execution insight for institutional investors. The global service will be available for post-trade analysis and reporting, with pre-trade capabilities in development, building on the current provisions across major global corporate and sovereign bond markets. ITG states that bond futures and other debt asset classes are to be added in the coming quarters.

Drawing on a broad dataset, the new TCA platform should have access to more than 10 million daily quotes and trades, including electronic communication network (ECN) executions, interdealer quotes and FINRA’s TRACE trade information in the US. ITG aggregates market data and transactions from multiple sources in its role as an independent fixed income TCA provider, ensuring access to a deep data pool.

Kevin O’Connor, global head of analytics products, says, “Our fixed income TCA allows clients to aggregate and analyse their transaction data no matter where they execute their trades”. The new platform combines this provision with flexible benchmarking, RFQ analysis and a global client service model facilitating adaptable and robust reporting.”

Head of fixed income analytics, Frank DiMarco, added, “The flexible interface enables traders and compliance staff to identify, comment on and manage outlier transactions.”

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