YouDevise Limited announced today it was stepping up marketing and expanding support for its Trade Idea Monitor (the TIM) in the US.
The TIM is the leading alpha capture system used by institutional brokers to send long/short equity trade ideas to their hedge and quant fund and more traditional money manager clients, and for portfolio managers to easily demonstrate the value the sell-side provides by cutting through the flood of information and noise sent via emails and telephone calls.
London-based youDevise said it named Timothy J. Murphy as US General Manager and Dianne McCoubrey as US Client Director. "Tim and Dianne understand the needs of institutional brokers and their clients," said Colin Berthoud, a Founding Partner of youDevise. "The sell and buy side are under increasing pressure to perform. As a result, interest in the TIM in the US has expanded significantly."
Mr. Murphy is well known, as the former Vice President of Sales, for expanding SuperDerivatives Inc. into one of the leading online derivative pricing services used by brokerage firms, hedge funds, institutional investors and banks in North America. Prior to that, Mr. Murphy was Senior Vice President and General Manager for the Americas of Wholesale Banking Systems for the Misys (LSE: MSY.L) financial technology firm.
Mrs. McCoubrey is well known as the former Relationship Manager of First Coverage of Toronto, a provider of financial information management solutions for institutional brokers and investors. She was instrumental in expanding First Coverage's user base, reactivating clients, and generating revenues.
Launched in late 2005 in London, the TIM today brings together more than 4,000 equity sales people at 300+ brokerage firms and more than 2,000 traders and portfolio managers at 100+ money managers. This has led to the adoption of trade ideas as a new value added service on Wall Street and in the City, with investors typically allocating 30% to 100% of commissions based on idea performance.
Use has skyrocketed. There are 426 firms using the TIM, up 64% year over year, including some of the largest investment bank-brokerage firms in the world as well as major hedge funds and asset managers in North America, Europe and Asia Pacific. Through November, brokers have sent 3.6 times as many new ideas as last year. As usage has grown, so has the TIM's historical database of broker performance, which is used to estimate future returns. Through November, the TIM's "Ideabase" is up 355%, to more than 410,000 closed and open ideas, significantly increasing the system's predictive capabilities.
Collectively, brokers using the TIM have accurately predicted this year's market. Their percentage of short ideas peaked at 45% in August, in advance of September and October's declines, then jumped to a new high of 47%, in advance of November's rout.