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Vicky Sanders, co-
founder, RSRCHXchange
Andy Mahoney, head of sales, FlexTrade
Strategies for outperforming
in the new environment will
emerge
Next year we move on from panicking, planning and
preparing for MiFID II research unbundling to working
through the practicalities and consequences - both in-
tended and unintended. As unbundling and best exe-
cution impact everyday decisions, new behaviours will
emerge. The focus for management teams will shift
from meeting regulatory requirements to developing
strategies for outperforming in the new environment.
With more buy- and sell-side firms looking into digital
strategies, technology will play a bigger role in creating
efficiency and competitive advantages for front office
functions across the investment industry. That doesn’t
mean robots on the trading floor, but using technology
to upskill individuals. and businesses.
Data, data, everywhere
Once the dust has settled on MiFID II,
clients will start looking to digest and
interpret all the extra data MiFID II
transparency has brought with it. We
are already looking to hook up to a num-
ber of APA providers, in order to take a
real-time stream of trade reports direct-
ly into the EMS. Practically every client
we speak to on the buy-side already has
a desk quant, which are all hungry for
the new data MiFID II is going to bring.
Those who have the tools available to
analyse, and draw conclusions from this
data will be the big winners in 2018.
Cliff Moyce, managing partner, DataArt
“Concerns will subside
as people realise AI does
not do work people do.”
AI ‘job threat’ discussion will
be a thing of the past
The AI boom will go exponential and the skills gap will turn into a
war for talent, as warnings about job threats from AI evaporate
and AI skills becomes the biggest hiring driver in the industry. Staff
concerns will subside as people realise AI does not do work people do;
it does work people cannot do. AI techniques like pattern recognition,
machine learning and fuzzy logic will help firms derive deep learning
from structured and unstructured data to drive strategic planning;
use Big Data tools to support risk management and operational
planning; and predict financial turbulence and assess risk of financial
contagion.
Issue 54
TheTradeNews.com
77