GREENWICH, Conn.--()--Weeden & Co. LP, a full-service institutional broker, today announced the release of CloseIQ, along with major enhancements to their electronic trading strategies.
“As equity volumes have declined over the past few years, we have witnessed many firms cut back on their investment and efforts in the electronic execution space. At Weeden, we continue to make significant investments to upgrade our product offering”
CloseIQ is a newly developed strategy that will intelligently take advantage of the increased volume, tighter spreads, and lower volatility towards the end of the trading session. “Given the dramatic shift in volume during the last 30 minutes of the trading day (12% in 2007 vs. 21% in 2012), many of our clients were asking for a better way to trade into the close and take advantage of this changing volume pattern,” said David Margulies, Head of Electronic Products Group at Weeden & Co. LP.
Based on the size and liquidity characteristics of the security, CloseIQ will automatically choose the appropriate start time of the order while placing an optimally sized portion in the Closing Auction. For stocks that are NYSE listed, clients will have the option to take advantage of d-Quote order types, which allow for modifications or cancellations after the exchange cutoff time of 3:45 p.m. ET. “The d-Quote feature in CloseIQ is the first strategy to combine an intelligent close algorithm with the features of d-Quote. This gives our clients more flexibility in choosing the appropriate size to place on the close after analyzing the NYSE imbalance data,” said Paul Pantalena, Head of Algorithmic Trading at Weeden & Co. LP.
In conjunction with the CloseIQ development, Weeden & Co. LP, along with its algorithmic partner Pragma, has made major enhancements to their existing electronic trading strategies. New logic has been developed to better protect their clients’ orders by reducing the impact from HFT. The strategies read liquidity characteristics and intra-day signals, such as momentum and short-term alpha to dynamically react and adapt to real time trading activity. Additionally, more strategic routing decisions using their existing inverted destination logic will be utilized. Each strategy is now designated with ‘IQ’ to signify this advanced and more intelligent logic.
“As equity volumes have declined over the past few years, we have witnessed many firms cut back on their investment and efforts in the electronic execution space. At Weeden, we continue to make significant investments to upgrade our product offering,” said Lance Lonergan, Co-CEO, Weeden & Co. LP.
Founded in 1922, Weeden & Co. LP provides premier execution services to over 1,500 Institutions worldwide. Its headquarters are in Greenwich CT, with offices in Boston, Rosemont/Chicago, Greenbrae/San Francisco, and Minneapolis (www.weedenco.com).