TradingScreen Inc., which provides an order and execution management system, has entered into a partnership with BIDS Trading, which offers a block trading alternative trading system and provides technology for Cboe LIS in Europe.
The deal is intended to give the buy side access to the biggest block provier of liquidity in the US and Cboe LIS's growing liquidity pool in Europe. In short, it is intended to enable market participants to access quicker execution and improve efficiencies around trading blocks of shares.
The BIDS Trading system has been designed to bring counterparties together to anonymously trade large blocks of shares. It was develoepd by a consortium of financial services firms in response to demand for a solution that would enable legitimate trading between counterparties without prematurely revealing trading intentions. This system works by only exposing details when there is a "true opportunity to trade", but information disclosure is controlled by customisable tools, which can filter out counterparties based on past trading behaviour. Cboe LIS licences the BIDS technology.
Varghese Thomas, TradingScreen COO and chief strategy officer, said: "Asset managers around the world will benefit from access to the institutional liquidity pool as BIDS becomes one of the dominant players in the space. BIDS has always had a unique focus on the broker relationship and we look forward to an ongoing relationship with BIDS and Cboe LIS."