[ I N D E P T H | C O U N T E R P A R T Y R E L A T I O N S H I P S ]
“ As markets continue to increase broadly in complexity , buy- and sell-side relationships can and will take on a more strategic focus .”
ED WICKS , HEAD OF TRADING AT LEGAL AND GENERAL INVESTMENT
MANAGEMENT ( LGIM ) completely different , and despite there being some overlap among firms , each organisation will focus on where it can add the most value .
Another key driver of this adaptation is the increased presence of additional liquidity providers within the landscape . Paired with the reduction in balance sheet seen by the traditional sell-side in recent years , the establishment of these more technologically focused liquidity providers has intensified this decrease in reliance on the traditional sell-side in some capacities .
Technological advancements are also bolstering peer-to-peer interactions among buy-side advice . “ As markets continue to increase broadly in complexity , buy- and sell-side relationships can and will take on a more strategic focus . What I mean by that is , it ' s really important for both sides to understand priorities ,” says Ed Wicks , head of trading at Legal and General Investment Management ( LGIM ). “ If you get it right , it allows both sides to understand the direction of travel that each other are taking and ensure they ' re able to commit appropriate resources to given technology initiatives .”
To be clear , increased technology does not necessarily mean the buy-side relies on the traditional sell-side less , roles have simply evolved . The key strengths of the buy- and sell-side are
“ Having a quality , experienced team will always provide a better service than pure technology alone .”
WILL WINZOR-SAILE , MANAGING DIRECTOR , EXECUTION
ANALYTICS AND ARCHITECTURE AT REDBURN ATLANTIC
traders , through the possibility of more direct , efficient , and transparent communication and trading through decentralised platforms and advanced networking tools .
Jason Fromer , managing director , co-head of global fixed income trading at Manulife Investment Management , emphasises that credit traders
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