BNY ConvergEx has released TactEx, a suite of advanced direct market access (DMA) order types that allow traders to access dark and displayed liquidity simultaneously.
TactEx orders are designed to increase execution opportunities by reaching multiple liquidity sources while simplifying a trader's workflow, says BNY.
Unlike dark algorithms, which are designed to make decisions for traders, TactEx gives a trader full control over execution decisions. In the displayed market, TactEx "reads the tape" and posts a portion of an order to the appropriate market center based on activity in that stock. In the dark markets, the system divides the rest of the order between multiple dark venues.
As executions occur, TactEx rebalances the order by redistributing the remaining shares across displayed and dark venues to maximise exposure to all types of liquidity, says BNY.
"As dark pools grow in popularity, executing electronically has become nothing short of a balancing act," says Carey Pack, president, BNY ConvergEx Execution Solutions. "TactEx will allow clients to manage orders efficiently in the current, fragmented electronic marketplace and give them full control over their execution decisions while accessing the breadth of available liquidity."