Nasdaq has added Liquidity Tracker, an intelligent order routing system, to its SuperMontage trading platform.
The Liquidity Tracker began operating with all of Nasdaq's national market and smallcap securities yesterday. The system is programmed to direct orders to market participants whose recent trading activity supports a willingness to fill new orders. Nasdaq says the system increases fill rates while controlling market impact.
Adena Friedman, executive vice president, Nasdaq data products, comments: "Taking advantage of the depth and liquidity in Nasdaq, Liquidity Tracker is the only system that monitors participants trading behavior in real-time to determine who is most likely to be a willing and able buyer or seller."
The exchange developed the order routing system with New York-based block trading technology firm eXchange Advantage (eXA).