[ A L G O R I T H M I C
T R A D I N G
S U R V E Y ]
Bank of America
B
About one-third (34%) of participants manage over US$50
ank of America (BofA) is a Charlotte, North Caroli-
billion in assets. BofA has improved year-over-year in four
na-headquartered investment bank operating in 35
categories: execution consistency (0.11), customisation
countries. BofA offers a wide range of execution capabili-
(0.33), ease of use (0.34), and algo monitoring capabilities
ties to help traders improve performance versus bench-
(0.07). The firm’s average score of 5.43 is 12th among peers
marks, reduce market impact, and maximise efficiency
and represents a 0.10 decline versus 12 months ago.
on the desk. These include algorithmic trading
Year-over-year decreases are also observed in a
strategies, smart order routing, and direct mar-
number of other categories, including increased
ket access (DMA).
Average
trader productivity, reduced market impact,
BofA ranks 10th by number of long-on-
Score
cost, speed, anonymity, price improvement,
ly fund responses received (29), moving
data on venue/order routing logic or analysis,
up two notches from 2019’s survey. Sixty
customer support, dark pool access, and flexi-
percent of the funds that rely on BofA for
bility and sophistication of smart order routing.
algo execution indicate they trade at least half
of their portfolio value by algorithmic means.
5.43
BANK OF AMERICA RATINGS FOR ALGORITHMIC PERFORMANCE
Increased trader
productivity Reduced market
impact Execution
consistency Cost Speed Anonymity Price improvement Customisation
5.42 5.16 5.62 5.36 5.50 5.55 5.26 5.06
Ease of use Data on venue/order routing
logic or analysis Customer
support Execution
consulting Dark pool
access Flexibility and sophistication of
smart order routing Algo monitoring
capabilities
5.73 5.41 5.71 5.37 5.51 5.44 5.38
KEY STATS
5.73 5.06 0.34 -0.45
Highest score
(ease of use) Lowest score
(customisation) Most improved
(ease of use) Least improved
(anonymity)
82 // TheTRADE // Spring 2020