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Jefferies
Jefferies are clearly doing something right , with an overall average score of 5.95 , outperforming in thirteen of the fifteen categories , it has clearly had a good year with one trader dubbing them the “ best algo provider [ of ] 2023 ”.
In fact , across the board , when traders are considering using other algorithmic trading providers , Jefferies is one of the top mentioned providers listed .
Customer support takes the top spot , with traders mentioning several members of the Jefferies team by name as some of the best in business . However , it is its breadth of dark pools which has seen the largest shift from last year . Increasing by 0.30 to 6.16 , this category has been pushed into the “ very good ” sector . Buy-side respondents are quick to pile on the praise with their comments too , highlighting the firm ' s “ their seek with min POV accesses dark and lits . Like Blitz smart DMA ”.
When it comes to reducing market impact , Jefferies has scored an impressive 6.12 , the second highest score among all 21 of our providers
discussed in this report .
Meanwhile , when it comes to price improvement , there has been a significant decline in the category score , falling 30 decimal points to 5.62 . While it is not the lowest score this category has seen , it is the lowest Jefferies received . However , it is worth noting that only price improvement and cost fall below the overall average , although there is a clear pattern where traders feel that Jefferies should perhaps focus on improving .
Two thirds of Jefferies clients are based in the UK ( 32 %) and Europe ( 32 %) and just over a quarter based in the US ( 26 %), with 46 % reporting to have an AUM of $ 50bn or more . What is interesting is that , while Jefferies is perhaps one of the most mentioned providers traders are looking to include in the coming 12 months , 26 % of Jefferies ’ clients are also considering using additional algorithmic trading providers in the next year , with Cowen , Liquidnet , BNP and UBS all getting a mention , to name but a few .
JEFFERIES RATINGS FOR ALGORITHMIC PERFORMANCE
Increased trader productivity |
Reduced market impact |
Execution consistency |
Cost Speed Anonymity Price improvement Customisation |
6.18 6.12 6.04 5.78 5.91 5.98 5.62 5.81
Ease of use |
Order routing logic / analysis |
Customer support |
Execution consulting |
Dark pool access |
Flexibility and sophistication of SOR |
Algo monitoring |
Average score |
6.21 5.64 6.27 5.79 6.16 5.93 5.86 5.95
KEY STATS Overall Outperformer : Category Outperformer : X13
6.27 Highest score
( Customer support )
|
5.62 Lowest score ( Price improvement ) |
0.30
Most improved ( Breadth dark pools )
|
-0.31 Least improved ( Price improvement ) |
|
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Issue 79 // thetradenews . com // 85 |