[ A L G O R I T H M I C
T R A D I N G
S U R V E Y ]
Morgan Stanley
M
as well as receiving favourable ratings for anonymity
organ Stanley recorded almost double the
and ease of use. There were year-on-year decreases in 10
percentage of responses on last year’s long-only
of the 14 categories reviewed for Morgan Stanley, most
algo survey, drawing 5.21% of the total responses, up
significantly for customisation (0.92), improving trader
from 2.91% in 2017, putting the firm behind only Kepler
productivity (0.71) and reducing market impact (0.62).
Cheuvreux, ITG and BAML. Over half of Morgan Stan-
Respondents were primarily active in electronical-
ley’s respondents manage assets worth more than $50
ly-traded funds, foreign exchange and listed deriva-
billion while one-quarter came from the $10-50 billion
tives, alongside equities. Half of long-only firms said
in AuM bracket. Bloomberg was the EMS provider of
they have increased use of Morgan Stanley algos over
choice for Morgan Stanley long-only respondents, with
the past year, some as much as 25%, while the rest
ITG and Charles River also proving popular options.
experienced consistent usage levels. One-quarter of
Long-only scores for Morgan Stanley were quite mixed
Morgan Stanley’s respondents said they are consider-
this year, with an overall rating across all categories of
ing adopting algos from other providers, with access
5.31, slightly below
the survey-wide
average and the
Morgan
Stanley
to systematic internalisers and indicators of volumes,
firm’s result for last year. Morgan Stanley
scored well in
Improve
greater levels Execution
of customisation and deeper insight into
the cost, dark pool access and smart order routing capa- Reduce
Year
Cost
Speed
trader
performance
all mentioned as desired functionalities.
bilities categories, rating higher than the survey averages,
market
impact consistency
productivity
2018
5.23
2017
5.94
MORGAN STANLEY RATINGS FOR
ALGORITHM PERFORMANCE
5.15
5.77
5.43
5.81
5.57
5.60
Improve trader
productivity
5.23
5.77
5.43
Execution consistency
5.81
5.57
5.60
Cost
5.44
Speed
5.88
5.46
Anonymity
5.29
Price improvement
4.67
Customisation
6.10
5.76
5.58
5.50
Ease of use
5.26
Crossing
4.97
Execution consulting
5.84
5.56
5.32
Customer support
5.63
5.24
5.60
5.45
Dark pool access
Smart order routing
capabilities
5.44
2017
5.88
5.94
5.15
Reduce market impact
2018
5.48
5.49
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3.00
4.0 0
5.00
6.0 0
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