THETRADETECH DAILY THE OFFICIAL NEWSPAPER OF TRADETECH 2023
Louisa Paul : Venue analytics to source the best liquidity
Louisa Paul , global head of dealing at Barings , sits down with The TRADETech Daily to discuss the key themes in the equities market over the past year , and what ’ s on her radar for 2023 .
What are the key themes you ' ve seen in the equity markets over the past year , and how are the twin challenges of inflation and interest rates impacting your job today ? We ’ ve seen liquidity reduced when trading outside of auctions - in some cases there is more liquidity in the close than during the trading day - and the occasional volume spike . Dark liquidity is increasingly harder to find . We ’ ve also seen continued growth of ETF volumes .
Geo-political uncertainty remains elevated in Europe , specifically with reference to the Russia / Ukraine conflict .
Interest rates have had a major impact on funding costs ( irregular settlement cycles , overnight funding rates ) and we ’ ve seen a compression of commissions – increase in algorithm usage .
We ’ ve also observed a reduction of sellside experience , and we continue to see ESG on the rise .
What are the tech innovations you ' re seeing in the market right now that are making your job easier ? Algo innovation continues to improve our ability to source liquidity and performance .
We ’ re also using a digital ECM information tool – Primary Portal .
What do you like most about TradeTech , and what value does it hold for the buy-side ? TradeTech gives us the opportunity to hear a wide variety of ideas and views from buy-side peers , the sell-side , exchanges and technology providers .
It offers up honest opinions where panellists are genuinely challenged on topics such as increased data costs , innovation etc .
What panel are you most interested in this year , and why ? I ’ m looking forward to the buy-side-only day , given that this is a new concept for TradeTech Paris . I ’ m also interested in the market structure panel and I look forward to hearing which key topics which come out of it .
I ’ m also hoping to attend the best execution and TCA / advanced analytics panel – as we are always keen to develop TCA techniques / analytics .
What priorities are on your radar for 2023 ? Ensuring we have the best OMS / EMS solution to match our business . Venue analytics – which venues are we getting the ‘ best ’ liquidity from . And finally brokers – in terms of evaluating which brokers are providing us with the tools we require .
“ In some cases there is more liquidity in the close than during the trading day .”
22 THETRADETECH DAILY