Buy-side Perspectives Issue 4 | Page 14

MAKING SENSE OF MARKETS Yann Couellan, head of fixed income execution at AXA Investment Managers A sset managers in France are increasingly using sophisticated data and aggregation tools to trade fixed income. Yann Couellan, head of fixed income execution at AXA Investment Managers is leading a push to use these tools to provide a powerful trading proposition at the fixed income trading desk. "Actually, we had developed a suite of tools for fixed income, starting in 2006 from (i) pricing tools enabling traders to follow up each expertise from rates to high yield,(ii) Axes tools in late 2008 to manage liquidity challenges that we were facing, as well as TCA benchmarking tool which enable to demonstrate to clients the trading performances of the Global Centralized Trading Platform of AXA Investment Managers, Trading & Securities Financing Department. The Axes tool is an in-house 14 application which aggregates tailored fixed income interests sent by our counterparties to AXA IM Fixed Income Trading team, to address liquidity challenge and price discovery. This application enables traders to promptly identify which are the banks which have obvious and firm interest on a specific bond for a specific size in order to reduce market impact. It helps to find the others side for a given order." AXA first launched its market data axis tool in 2008 for internal use by traders and fund managers. Back then, however, it was only updated twice a day. Today, it is updated at 30-minute intervals. But just as importantly, it has been integrated with other related tools – most notably market data aggregation tools. Normally, when a trader is seeking to buy or sell, that trader will look at pre-trade information. www.buysideintel.com June 2016